Most people know that being a landlord in Dhaka is a lucrative mode of income. In a city where land and space fall short, only some manage to acquire the title of ‘homeowner’ and gain the position to rent out homes or commercial spaces, earning a lump sum every month that allows them to be well off. However, the rising urban population has increased the demand for apartments, and as a result, now more real estate companies and individuals are building apartments. We now have more homeowners than ever, but there is no guideline to becoming the perfect one. This writeup is not a guide, but rather a cautionary measure that will prevent you, a new homeowner, from making some common landlord mistakes.
Shady Lease Contracts
As a homeowner drawing up contracts with your tenants, you want full transparency and no mistakes. When leasing your property your specifications should be clear. The amount of rent, security deposit, pet policies, duration of tenancy, and property maintenance should be thoroughly discussed and stipulated. If you are unfamiliar with the process, it is always best to seek professional help from experts, such as bti Brokerage, who will offer you documentation support and ensure full disclosure for both you and the tenants. They will also provide you legal assistance which is necessary when making contracts.
Improper Screening & Inspection
The property you are putting up for rent is your own, and you obviously would not like someone ingenuine to get access. Checking background profiles and verification is very important. You should decide what kind of individuals you would rent your apartment to. For example, many people prefer to rent out to small families rather than single, working women or unmarried male students. If your property is close to a university, you could rent it out to students. However, screening is extremely important when it comes to selecting tenants because their unlawful actions could become a legal nightmare for you! Before renting your property it is always better to do a thorough inspection yourself. It is quite embarrassing when potential tenants point out flaws in your property, and maintenance is a great hassle. If you can find out the flaws beforehand, it will save you time and costs, and keep your tenants happy. If you think that experts should perform an inspection on your property, ask bti Brokerage!
Lazy Money Management
If you are a homeowner, and especially if the experience is new for you, your finances should be sorted out. While you are paying the installments for your property with your income and total rent garnered, you can never really know what happens next. Your rented properties may be vacant sometimes. Due to emergencies, you might not always have a steady income coming to your bank account. It is always best to save aside some money bit by bit in these situations. Rent money does not always come in due to vacancies, so the money you save aside will help you with quick maintenance costs and salaries for your hired employees. Bti Brokerage can offer you incredible financing solutions if you want to be a responsible homeowner.
Being Irresponsible
Usually first-time homeowners treat their properties with utmost care, but those who have been in the game for so long tend to have multiple properties scattered across the area. The result is a massive mismanagement and irresponsible handling of properties. It is not wise to neglect the tenants and only see their faces when you collect rent from them. Think of how you would feel in such a situation. Being responsible and making the right call matters here. If you believe investing in multiple properties would be tough for you in the long run, it is better to avoid it. Even if you hire property managers, you must check the records regularly to ensure no discrepancies.
Not Hiring Managers
It is understandable for a property owner to not trust outsiders with their possessions. After all, with so much effort put behind a property, one wrong employee can cause severe consequences. In fact, there have been instances in Dhaka where property caretakers, cleaners, gardeners, and security guards have been involved in theft, fraudulent activities, serious misdemeanors, and mysterious criminal activities. This is why it is best to seek help from brands such as bti Property Management! They will provide you with expert personnel who are ready to take care of your property. You do not have to worry about their behavior because they are well-spoken, trained, and are thoroughly screened.
No Proper Research
Some areas have certain restrictions. For example, if you are planning to build a home in planned residential areas such as Aftabnagar or Bashundhara R/A, you need certain permits from their authorities. If it is a commercial area, you cannot own homes there. In a strictly residential area it is illegal to run commercial activities. As a homeowner you should tread carefully with the rules and regulations, especially those that apply to your property. If you are already broiled in legal hassles regarding your property, it is best not to rent or sell it until the problems are solved. Always consult experts in such situations.
Lax Tenants
Did you know that if your tenants are careless, a big reason is that you have not enforced the contract hard enough? It might sound harsh, but it is the right thing to do if you want your property unharmed in any manner. Residence associations place certain mandatory rules, such as paying service charge, or restrictions regarding community rooms and plants. If your tenants do not follow the rules, you will be held liable. Talking things through with your tenants and ensuring that everyone follows the rules in place are tasks only you can handle.
Did this help? If you are a homeowner looking to rent out properties and require documentation support and financing options, talk to bti Brokerage. We will assist you from start to finish with our services.
