Re: Need Advice on Property Rental

[EMAIL PROTECTED] (anil chada) wrote in message news:<[EMAIL PROTECTED]>...
> Hi --
> 
> Recently i looked at a condo i am intertested in buying, so that i can
> rent it.
> This is the first time i am trying to rent a real-estate property, so
> i have few questions related to this.
> 
> 1) For my home i have home owners insurance, do i need to take any
> special insurance for rental property?
Your association fees should include insurance on the building itself.
 Cabinets, fixtures, appliances etc are not included.  You need
insurance for this.  More importantly you need liability insurance.
> 
> 2) What are the documents (such as rental contract) i need for tenant
> to sign? is there any way i can get sample copy of those documents?
Authorization to run credit check, rental application and month to
month rental agreement.  Throw in a lease agreement also.  That is
four separate documents.  Your local "Office Depot" store should have
these for a few bucks.  Spend time going over every paragraph in the
rental agreement with the tenant.  No subletting, no pets, no smoking,
tenant is responsible for repairs or notification to landlord of
needed repairs.  Renters need to pay for their own Renters Insurance. 
Never, ever sign a lease and then give it to the tenants to sign and
mail back.  They have a signed contract and you don't.  I did that the
first time.  It all worked out.

> 
> 3) Someone told me that, it is better to incorporate and buy the
> property on that company name. Any advice on this? If i incorporate
> later, is it possible to move the property to the company name?
I think LLC's are the standard advice.  I don't have one.
> 
> 5) Any tips/suggetions/gotchas for first time landlords?
Check with the landlord before their current one if possible.  Is the
landlord related to them?  If they are the renters from heck the
current landlord just wants them out and out of their life.  Phone
references are fun because everyone wants to lie for their friend.  At
least make sure they are all telling the same lies :)  Do they smoke,
have a dog, live in girlfriend, throw copious parties?

> 
> I live in Cleveland, OH area.
Cleveland is a great place to be from :)

My favorite questions are:  What's your Purchase Price and Loan to
Value (LTV)?  Gross and Net income?  Expected appreciation?  These
determine how fast you can build your empire.

Think of landlording as an educational experience.

 Thanks for your time and help. 
> 
> Thanks
> AC

Best of Luck,
Speednxs