REAL ESTATE INVESTMENT FOR RENT

REAL ESTATE INVESTMENT FOR RENT

When it comes to real estate investment for the generation of constant flows through monthly income from the lease of a property; There are three elements that we must take into account when investing.


Real estate investment for rent


That the property is a GOOD REAL ESTATE ASSET , that is to say profitable, the rent must cover the cost of maintenance and others that the administration of the property requires and still produces excess amount of money, that is to say that profitability is obtained. Example

Monthly rent: U $ 1000

Maintenance expenses, bank fee, taxes and other U $ 500

Free cash flow: $ 500

A GOOD CONTRACT .- The lease is an agreement of wills in which the use of an asset is transferred in exchange for a specific rent, which must contain certain clauses that guarantee the payment of the rent and the care of the property, In this sense, we suggest what should not be missing in a rental contract so that later problems do not arise.

Location of the property

Property status

Start and end of the contract (Term). Possibility of extension

Destination of the property

Rent amount. Start of payment

Conclusion of the contract before the term.

Monthly expenses for water, electricity, internet, maintenance, serenade, surveillance and others. Determine precisely that they correspond to the tenant. Real Estate Agent in Minto

Taxes created or to be created by the lessee. Except Property Tax and Income Tax

Failure to pay the Rent. Generation of interest and compensation.

Guarantees in money, personal or commercial.

Grounds for resolution

Repairs of the property by the tenant

Assignment, transfer and sublease.

Sure

Modification and works in the property

Locks

Credit account indication

Attach internal regulations and / or coexistence manual, when appropriate

Future search clause

Submission clause

Indication of the type of process in case of eviction from the property

A GOOD TENANT.- It is one of the most important tasks of the real estate investor to find a tenant who pays the rent without setbacks and on the other hand, who diligently takes care of the property.

For this, there are formats to properly select your tenant, which allow you to choose the tenants according to your needs and demands.