Real Estate as a Landlord
Owning rental property provides one means of attaining homeownership dream. However, in purchasing rental properties, one not only become a homeowner but also takes the responsibility of being a landlord. A landlord refers to a persons or organizations who leases and owns apartments to tenants at a fee either monthly, annually or quarterly. They own residential and commercial properties. In addition to owing the property, landlords are charged with the responsibility of maintaining and repairing the premise and paying taxes to the authority. Moreover, as business leaders, they adhere to various laws, regulations, and rules, which govern renting of houses (Boyer and Ryan, 2016).
Present and Future timing of Landlord
Tear and wear affect landlords that lease furnished properties. Presently, such landlords receive high returns from leasing. However, owing to tear and wear in the future, the returns are bound to decline. However, most landlords of furnished properties are unaware of tear and wear and its effects. There is a need for the landlord to understand tear and wear, its abolishment and effects on business.
Additionally, changes in interest rate will affect landlord because most of them acquire assets using mortgages. A rise in interest rate implies, that landlord will repay mortgages at a higher price, while low-interest rate reduces the cost of a mortgage in the future (Melissa, 2005). Furthermore, a variation of interest rate caused by economic changes may lead to rising or decreasing of the lease to enable the landlord to pay their mortgage.
Moreover, generational differences are influencing landlord-building styles. Precisely, different age groups, income differentials, and preferences are affecting the structure of cities. Presently, a small proportion of youth is keen on housing designs. However, in future, the modern generation will prefer dwelling in stylistic units designed to suit their tastes (Keipper & Lyden, 2004). The trend will demand better designs in the future to meet housing demand of such generations. As a result, the landlord must be accustomed to changes in market demands and respond timely (Boyer and Ryan, 2016).
Goals of a Landlord
Attaining consensus among stakeholders
The goal of attaining consensus among stakeholders as a landlord play a critical role in lease sustenance. Different parties’ leads to successful sustainability of leased properties, for instance, asset manager, tenants, brokers as well as property team managers. Every party must toil together in defining expectations, incorporating flexibility to facilitate coping with difficult capital markets and leasing (Pedzich, 2004). As a result, creating consensus among all stakeholders will avoid civil actions from the tenants for example failure to pay rent or vacant the premise.Although a vision of sustainability exists, leasing may promote buy-in or their participation in the property management (Keipper & Lyden, 2004). The growth of tenants will call for building consensus and maintain high-quality communication with stakeholders. The aim of building consensus will enhance flawless management of the property.
Establishing commitment of managing measurements
The second goal as a landlord is managing measurable arising from using the property. Ambiguous terms, for instance, “commercial availability,” industrial standards,” “first-class operations” are unnecessary in leasing (Melissa, 2005). The goal of establishing commitment will facilitate comprehension and agree on realistic targets on entire metrics worth quantifying or measuring for example waste minimization, the quality of indoor air as well as resource efficiency. Objectively, measurements will progress where appropriate quantitatively. The goal of establishing commitment will aim at creating a clean environment to all property users (Keipper & Lyden, 2004). The goal with avoids civil issues, for instance, failing to protect the properties from damage. Precisely, the goal will assist the entire parties involved in leasing to work together and achieve their share sustainability objectives. Furthermore, the goal will facilitate meeting the obligations of reporting of the systems embraced within the leased premise (Boyer and Ryan, 2016).
Incorporating incentives in collaborations
Another goal as a landlord will be incorporating incentives in collaborations. Ideal leasing of property entails a collaborative instead of paternalistic relationships with tenants. Unmistakably, delineating goals as well as transparency are principal elements of collaboration. Creating incentive will enhance property management even in my absence (Keipper & Lyden, 2004). Additionally, collaboration with an assist in avoiding community issues such as discrimination. Incorporating collaboration incentives goals will make the lease to own the property and feel responsible enough to protect it from damages (Keipper & Lyden, 2004). Consequently, observing recycling protocols, switching off needless lights and reassuring environmentally friendlily options for commuting are few example of how creating incentive collaborations will influence the environment (Liu and Liu, 2013).
The goals of screening tenants as a landlord with an aim at establishing their credit worthiness. Conducting a background credit check on potential tenants is worth the time. Online screening of tenants is convenient and indicates credit scores by potential tenants. However, credits scores must not be the sole reason for denying an applicant a lease, but it will form a significant basis of screening (Melissa, 2005). For example, an only fresh college graduate with the solid job without a sufficient credit history warrant a worthy score for lease. Additionally, the goals will also aim at conducting interviews to facilitate our interactions as well as checking references. Tenants screening will assist in avoiding default in lease payment and harboring thieves within leased properties. Screening may be done as a co-curriculum activity by the landlord (Brueckner, 2014).
Understanding lease agreement
Leasing agreements play a significant role in the rental process to landlords as well as the tenants. Lacking a lease agreement can result in forfeiting property, losing rights and money. Understanding the agreement will help to safeguard my rights as a landlord (Pedzich, 2004). Leases agreement sets out terms pertaining the termination, raising or extension of a lease. The understanding lease agreement will define the obligation of each party and avoid conflict (Melissa, 2005). Additionally, there is need of comprehending lease because they have proof detailing the cost, penalties, and dates of payment and how the landlord will raise the rent in case of default. Having a list of rental terms as well as expectation will protect the investment. Further, lease agreement detail landlord response in case the property is broken. My aim of the understanding lease agreement is geared towards protecting tenants as well as the property by giving rights and control over the property.
Having a Proper Insurance
The final goal will aim at having proper insurance. Currently, the need for insuring properties is low although it hosts several benefits. The financial burden of insurance is high. Having spent much in building the property, insuring the lease will be difficult (Melissa, 2005). Conversely, in the future, the property will use money raised from the lease in insuring the premises. Future legal expenses are necessary to offer financial reassurances if disputes with tenants leading to legal actions arise. Further, the insurance will cover malicious damages and vandalism. Additionally, the goal will aim at seeking providers that provide rent guarantee covers which will protect the property where tenants fail in paying rent. Having such insurance will create peace of mind while dealing with tenants who have a lesser ideal of paying (Brueckner, 2014).
In sum, landlords lease building, land, and properties. However, changes in the furnished lease, interest rate, and generational difference affect future and present leasing strategies by the landlord. Additional, civil issues for instance failure of paying for rent, damaged property and refusing to vacate premise adversely affect lease management. Careers of the landlord are guided by goals (Pedzich, 2004). Co-curricular activities such as cleaning the property sustain the environment.