There are many advantages to renting homes, but there may be many issues and serious misunderstandings when the agreement is not in writing. It's not just about paying someone else for a mortgage or throwing money away. You are responsible for ensuring that the rental agreement is in place and that you make regular payments.
Explore the new district and take advantage of the opportunity to save money every month. The advantages of renting the house by the owner include:
• You can live in a better area. Some rented homes include water and you can save money.
• You are not responsible for maintenance. Plumbing, removal of termites and paints can be expensive. You save all these costs by renting.
• When you own a home, you may face many unforeseen expenses. Major repairs, such as a leasing roof, can cost a lot of money.
• Pools cost money to maintain. There are large public pools, and all you have to pay is membership.
• When you need to change a place, renting makes it easier to move.
• If for some reason you can no longer afford a more expensive rental, you can notify about it and go to a cheaper rental.
Lease agreements
There are lease terms that are legal, but turn out to be very unfair. The courts have the right to change any lease terms, if the tenant can show that this is unfair to one party. If you are planning to rent, it is advisable to seek legal advice to help you understand all the terms and conditions of the agreement. The lease agreement has important factors:
• When is the monthly rent and rent? If not specified in the agreement, the law requires the rent to be paid on the first day of the month / week;
• Most rentals provide for a three- or five-day grace period for rental payments. The contract must indicate that such payment for late payments;
• Utilities and appliances: who is responsible for utilities?
• Are pets allowed?
Illegal leasing terms
As soon as you are ready to sign a lease agreement, please note that there are provisions that are contrary to the law:
• A proposal that allows the landlord to change the blocking of the property and deprive the tenant of access to the property if there is an outstanding rent;
• a clause stating that the tenant does not receive a refund of the deposit or prepaid rent;
• a clause in which the claimant states that the tenant cannot defend himself in court if the landlord must file a claim against the tenant for damages or try to evict the tenant;
• A clause is required that a later fee of more than ten percent of the monthly rent is required;
• A clause that allows the landlord to retain the tenant’s personal property after the eviction;
• Provision stating that the tenant must waive the right to take the lessor to court.
Serious misunderstandings
There may be many problems and serious misunderstandings, when the agreement with the housing to rent from the owner is not in writing. Rent can be provided to the tenant in the month to one month. The tenant may insist on a six-month period and landlord contracts. If these agreements are not in writing, it can be very difficult to prove in court that this period is six months. Oral agreements are often enforceable, but agreements, for example, when the landowner agrees to repair the property, must be in writing.
Things can go wrong
You signed a written rental agreement and you paid a deposit. What to do if you have lost your job and cannot afford to rent a house? Owners have the right to keep a deposit. The landlord may also be associated with any rental or other compensation for advertising the apartment.
What if you signed an agreement and you cannot move to the agreed date because the house is not ready? In this case, you can give written notice to the landlord of the termination of the lease agreement. You are entitled to a refund of all prepaid rent and deposits.
If you do not wish to terminate the agreement, you can request that the landlord immediately provide the rent. You can file a lawsuit, and you can claim damages, as well as for ownership in the lawsuit. Damage may include alternative housing, storage for your property and the cost of finding another rental.
Strange landlords
When you are considering a home for rent by the owner, keep in mind that there may be strange people. Some landlords can insure cash. Make sure you keep all receipts. The landlord may promise to make repairs, but never appears to perform these repairs, or the landlord may not be available when necessary for an emergency situation, such as a water pipe leak.
You may encounter difficult landlords. It is advisable that you put the dispute that you had with the landlord in writing and take photographs of what is violated. Where the landlord promised to correct him to a specific date and time, record this conversation in writing. Send a copy of this letter with a confirmed letter followed by a letter that describes your conversation with the landlord. You can file a complaint with the Fair Housing Act if your landlord does not fulfill promises.
Buying property versus renting
An applied professor of personal finance at the University of California at Berkeley found that “in 100% of cases it is better to rent, but rather to own.” He added that he knows that he holds a certain point of view on conventional wisdom.
• Greg McBride, senior analyst, said that “home ownership is a repository of wealth.” The promise of home ownership is that in the long run this can lead to a reduction in many or even all of your expenses, unlike rent, which does not give you any discount. “Mr. McBride said it makes no sense to buy a house if he is going to drain your emergency or retirement savings.
A new scientific article in the field of real estate economics has used data for the period from 1979 to 2009 and showed that rent has been an excellent investment for most of the past 30 years. The article found that if someone does not own the cash necessary to buy a place to live, he or she will rent one way or another.
The article states: “The choice is to rent real estate directly or rent the capital necessary to buy real estate, rent for that capital.
After 2 years, the typical 30-year mortgage depreciation balance was reduced by less than 3%. This means that a household that bought out a mortgage loan of $ 300,000 with a 5% interest rate for buying a home only reduced its mortgage balance by $ 8,600 after two years, despite the fact that costs amounted to almost $ 39,000. "
There are many benefits to renting an owner. You are responsible for ensuring that a rental agreement is entered into to avoid problems and serious misunderstandings, as well as make regular payments on time.
