The Risks of Second-Hand Renting
Trusting your gut when renting out second-hand can be dangerous.
When it comes to second-hand renting, there is a common misconception that just meeting a tenant and having a good gut-feeling about the situation is enough to avoid trouble. Often times you have a lot to gain by writing off the risks that come with renting out!
Therefore, we thought we’d share with you the reasons for needing to take your rental seriously. You won’t regret avoiding a “do-it-yourself”-solution.
Other guides you may be interested in:
- The definitive guide to renting out your place
- How to write a safe second-hand contract
- How do you set rent?
WARNING #1 – The tenant will often complicate payments!
Late payments from the tenant is hardly a rare occurrence. This can be hard to imagine at the point of signing; however, the point of signing is when mutual trust and intentions are at their highest. But how polite will you find your tenant to be when you are giving them their 50th reminder to pay rent? This issue worsens if you are dependent on his/her payments to cover your own costs.
It can get even worse if your tenant disappears without paying for the final months’ rent. Unfortunately, this can happen, which is why we exist: Qasa always guarantees rent, we take care of the troubling things so you can spend less time worrying.
WARNING #2 – Your insurance doesn’t cover you when renting out!
Did you know that your insurance doesn’t apply when you rent out your residence? It can be a sour experience to have an accident occur and find out the insurance you have been paying for won’t help you.
It is important that your tenant gets their own insurance. Unfortunately, it can be hard for you to ensure that your tenant is paying their premiums as it is rather hard to blindly trust that bills will be paid. Therefore, we have drafted a special insurance plan that makes sure that both you and your tenant are comfortable. When using this your tenant can easily insure him or herself easily after having signed the rental contract.
Even if your tenant is not yet registered as a resident in the Swedish system, which often makes it hard to get insurance, we have a plan for that situation as well.
WARNING #3 – Your tenant can void their contract in advance!
Regardless of what you write in your contract, your tenant retains the right to void the contract in advance. Contract voidance tenures vary – everything from one to three months, depending on if you are subletting an apartment or renting out a condominium. Imagine if you are abroad and have made yourself dependent on your rent income and your tenant voids the contract, what do you do then?
We always have our landlord clients’ backs in situations like these. We take good care of our landlords, in this case we would see to that a new fitting tenant is found and approved to take over the contract. Furthermore, we would arrange a digital viewing so that you get the chance to approve of the tenant and then organize a swift exchange of keys. You can stay in your hammock throughout the process worry-free about tenure periods, laws, and rules!
WARNING #4 – Conflict can be common when moving out.
When the rental period is over, you will need to pay back your tenants deposit. How do you think the discussion of how much a damage that your tenant incurred is worth? Your tenant may not be happy with you retaining a certain part of your contract.
You can get everything documented at the beginning and end of the rental period by professional inspectors through Qasa, an effective way to avoid conflict.
WARNING #5 – You may need help when it comes to eviction.
It isn’t impossible that a tenant seems perfect during the open house, but then turns out to be a real pain when things are signed. Unfortunately, an eviction may eventually become the only solution. Evicting a tenant is a long and complex process which can drag out indefinitely if not handled properly.
We partner with experts within this field, experts that can help you solve such problems quickly and efficiently; thus, you can save time and avoid losing many months of rent.
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