The Legal Ways to Rent a House
The laws governing the relationship between landlords and tenants vary by state. Whether an apartment, house or room is available for rent, the landlord and the tenant enter into a legally binding agreement. It is important for all parties involved to understand the landlord-tenant rights in their respective states and the legal ways to rent a house.
Rental Agreement
A rental agreement is necessary to legally rent a house. Depending on the circumstances, a rental agreement can be a formal document prepared by an attorney, or a standard real estate form. The rental agreement lists the location of the property, the terms of the lease and the parties involved in the agreement. The agreement is signed by the landlord and the tenant, and is a legally binding document that is enforceable in court. A rental agreement is used to set the rules of a rental relationship and establish when the relationship will begin and end, when rent is due, who will live in the home, rental amounts and due dates, and consequences for breaking the terms of the lease.
Ownership
A landlord must have the power to enter into a rental agreement with a tenant. Typically, the homeowner or an agent acting on the owner's behalf such as a property management company has the legal right to enter into a agreement with a renter. A person that does not have ownership interest in a property does not have the right to rent it to a third party. For example, a tenant does not have the right to rent the property to someone else without the permission of the homeowner. The owner of the home and the person living in the home should be named in a rental agreement to establish a legal landlord-tenant relationship.
Disputes
Disputes often arise between parties over rental terms, late payments, home repairs or lease violations. Landlords and tenants have legal obligations in settling disputes. Even if there is no written rental agreement in place, the law protects the rights of tenants as renters and the rights of homeowners as landlords. Disputes can be settled out of court with a conversation between the two parties and a review of the lease. Some portions of the lease may require clarification or amendment. If out of court negotiations fail, one or both parties can petition the court to remedy the dispute.
Considerations
Renting a house to a tenant comes with many responsibilities. The legal ramifications for violating a tenant's rights are significant. If you have a house you would like to rent to a tenant, consider soliciting the help of a real estate professional such as a property manager to assist you in the process of screening tenants and preparing the lease. This will help you avoid possible legal pitfalls of renting out your home.
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