When you want to rent out your commercial property, it can sometimes get quite challenging because it can be quite a complex process. Leasing or renting out a property is a big investment decision that you will be making. You can be faced with several potential problems. However, you can reap fantastic financial rewards if you play your cards right.
When you want to put your property up for leasing, there are several considerations that you have to keep in mind.
One of the things that you will have to consider when you want to lease your property is hiring a property manager. You will want a manager that will handle your tenants and property so that you will rest assured that everything is in place and maintained well. You will also need to consider the amount of property management fees that you will have to pay. A property manager’s job is to deal with tenant issues, conduct property inspections, maintain the property, and communicate with you about related problems. That is why it is important to choose a professional and experienced manager.
You have quite a challenging task at hand when you want to find the right tenant. Therefore, you can ask your property manager for help as well. Make a targeted list of potential clients to contact and rehearse your sales pitch. You should also research on the tenant. Look into their industry outlook, the history of the tenant itself, assess the tenant’s current location. Also, don’t forget to secure security and bond. Screen the tenants thoroughly and ask your property manager for assistance.
Preparations and responsibilities
Before you lease your property, you need to have the preparations ready. You need to determine whether or not the property is lease-ready, the target audience of your lease intentions, the price rates, the length of the lease, allowance of lease renewal, lease agreements, ability to do background checks on potential tenants, as well as the support team for maintaining the property. You should also need to remember that you have responsibilities, which include inspections, developing business systems, repairs, maintenance, and carrying out what is in your agreement. You need to remember that the tenants will also have to comply with their responsibilities as well, which includes rent payments, security bond, as well as other outgoings that are payable by them.
Terms and conditions
When you want to lease your property, you need to know your legal rights and responsibilities. You should also make an agreement between you and your tenant regarding terms and conditions of leasing the property. You need to set the terms, preferably hire an experienced lawyer, highlight tenant obligations, and determine items for negotiation. You are legally obligated to provide the tenant a written lease that comprises an agreement signed by both parties, the proposed lease, as well as a disclosure statement.