HOW’S THE RENTAL MARKET?

This is a question I receive multiple times a week and my answer is: BOOMING! During the past several years, it has become a large factor in the Real Estate community due to short sales, foreclosures, Relocation and potential buyers not qualifying or having the down payment for a mortgage. Landlords have reacted to these market conditions and have increased monthly rents by 5 - 15% ($100.00—$300.00, per month).

If you are considering renting a home in the near future, I recommend working with a Realtor. There are several websites advertising rental homes but, not all are legitimate. I have had clients send money to what they thought was the owner/Landlord but, it turned out to be a scam and they had no recourse to recoup their money. When renting a home, be prepared to complete the required paperwork. There is the Lease Application, Credit Report, Employment verification and a background check, similar to applying for a job. In addition to the paperwork, the Landlord may request additional financial verification, which can include 2 recent pay stubs or a current bank statement. A typical rental will want first month’s rent and one month’s security deposit.
The Lessee/Tenant does not pay any fees to the Realtor, rather it is the home owner/Lessor which hires and pays the Brokerage firm to market their property and find a qualified Lessee/Tenant. A lease is executed between the Lessor and Lessee which is very specific on how the property is to be used and who takes care of the utilities, yard, snow removal and repairs to the property.
Some rentals are pet friendly and will require an additional pet deposit. This amount is negotiated with the Rental Agreement and may or may not be refunded. Renter’s insurance is required to cover the Lessee’s personal belongings in case the home incurs damage. Rental insurance is minimal, usually less than $500 per year.

I recommend to my clients, treat the rental as if it was your own home and return the home to the Lessor in the same condition you rented the home, except for normal wear and tear. The home owner/Lessor will appreciate this and will be agreeable to returning your security deposit in full. If there is damage, depending on the amount, the Lessor will keep some or all of the security deposit to pay for repairs outside of minor day to day usage.
Are you interested in generating some extra income while building equity? Becoming a Landlord maybe something for you. Call me today to discuss your options. For as little as $130,000, you can purchase a 2 bedroom condominium and generate monthly rents from $1,200 - $1,600.
Looking for a place to rent? Give me a call and I can assist you in locating a rental home within your budget.
Direct: (847) 681-4143
~PAM