Rental Rage Relief
Reducing Rental Risks
As a tenant or landlord it’s important to protect yourself from financial risk, the following steps are crucial in establishing possible pitfalls;
The Application
A landlord renting a property has the legal responsibility to let habitable and secure premises, with services. A tenant has the legal responsibility to pay the rent on time and maintain the property in a good state of repair. The application is signed once both parties are in agreement with the costs and terms of rental. The application gives the landlord/agent the opportunity to confirm the identity, credit worthiness and references of the applicant. The applicant should also have the necessary information regarding the landlord to assure identity and ownership of the property. Before entering into any legally binding financial agreement, it’s crucial to establish identity and proof of residence.
The Inspection
Once the application is approved, the landlord/agent and tenant must, by law, inspect the premises and agree on the state of repair. A documented inspection report must be signed, dated with photos attached as proof. Trying to prove in court through heresy of repair or maintenance claims, without documented proof is difficult.
The Lease
The lease agreement is a legally contractual document and once signed, by both parties, is binding under the laws that govern the industry. Both parties understand and accept the rights and responsibilities agreed on in all the clauses. If either party is unsure it’s their responsibility to find clarity or discuss and change clauses that both parties can agree on.
The Deposit
Once the lease is signed a security deposit, plus the first month’s rent and fees will need to be paid by the tenant. It’s not unusual for a landlord/agent to ask for a two or even three month security deposit dependent on your credit score, references etc. This should all be negotiable and agreed on by both parties when signing the lease. The landlord/agent must, by law, keep the deposit in an interest bearing bank account and the tenant should be provided with proof thereof if requested.
Contact a property professional if you're unsure.
Nic Campher
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