Colorado Real Estate Journal -
D o you remember the first time you signed a lease? Most first-time renters are young and inexperienced in the responsibilities of committing and understanding what it means to put their name on a lease. As the property manager, you can better prepare these inexperienced renters to make it successful for both you, the landlord, and for them, the tenants, so that everyone is happy and successful. It would be wise to develop a process to guide and explain the rental process to these new renters.
Lease signing. Discuss with renters the legal importance of the lease. Review the monetary commitment they are signing and explain that a security deposit is required upon signing the lease; also, explain that the security deposit does not cover the first month’s rent. Discuss the amount of each month’s rental payment and that a late payment will be assessed if late. Co-signer. Make sure they understand a cosigner may be required to guarantee the lease, and that a background and credit check will be completed on the renter and the co-signer. Checklist. When leasing, provide a checklist to assist tenants with other services and commitments that they must initiate. This helps minimize problems on move-in day. This checklist can include a list of services that must be started in their name by move in. Examples include local phone numbers and websites of the area’s utility company, cable and Internet options, water, sewer and trash. It also is helpful to give the tenants the date by which the services must be moved to their name. And warn them that they might have to pay security deposits to start a service in their name. Move-in day. Walk through the property with an inspection checklist that the tenant and the property manager fill out. Have the tenants sign the inspection checklist and inform them that the property must be left in the same condition as reported and agreed to on the inspection form. This is a good time to tell them that the security deposit will be used to cover any expenses for damages to the property, including nail holes and stains on the carpet. Also, this is the best time to explain to the first-time tenant that they are responsible for changing light bulbs, cleaning and unclogging toilets, shoveling the sidewalks in winter, etc. As first-time tenants they probably have not thought of this. You do not want tenants to call you continuously for items that are their responsibility. Also explain under which circumstances they should call you, such as water or roof leaks, electrical outlet issues or kitchen appliances not working. Explain who is responsible for what at move-in so it is clear. Those renting for the first time are inexperienced and, as the property manager, you can assist, guide and teach to ensure that all parties are successful.