Why is the tenant management important? If you plan to make money in real estate by owning and renting residential property, then it is important to understand and abide by best practices for tenant management. Good tenants are the lifeblood of profitable real estate investments, while bad tenants can not only give you headaches, they can torpedo your financial goals. It is important to understand how to find good tenants and manage your relationships with them to ensure the success of your investment.
Residential Tenant Management
Managing a property and tenants requires time and energy. It can become even impossible if you don’t live or don’t have a trusted person in Barcelona.
Hiring a good property manager is a good way to ensure your tenants are happy.
A satisfied tenant is more likely to renew their lease; and communication is key to satisfied tenants. Particularly if you plan to manage a residential property yourself, you should meet your tenants and establish a point of contact. Take the time to learn their needs and do what is reasonable to ensure that those needs are met.
For residential tenant management, tenant screening, constructing proper lease agreements, and maintenance are three of the biggest priorities.
Tenant Rights in Barcelona
Spanish property law favours the tenant. It is difficult for a landlord to evict a tenant, even if they stop paying rent, as court proceedings are slow and rent must remain unpaid for an extended period before the landlord can arrange an eviction. In 2013, the period was reduced from six months to six weeks, making it easier for landlords to start the eviction process, although court cases tend to still be drawn out over several months.
Shutting off utilities, changing the locks or otherwise restricting the tenant’s use of the property is likely to be considered harassment, and landlords who do so may face a fine or a jail sentence. Landlords may even be charged with trespassing if they enter their own property without the permission of the tenant.
One concern for tenants in the current market is that the landlord may go bankrupt and the property be repossessed by the bank. In this case, the tenant continues to have the right to occupy the property as though it had been sold in the usual way. In practice, you will often be asked to leave by the former or new owner. You do not have to agree. If you are offered a financial settlement to encourage you to leave, you may accept it but you don’t have to.
Be very clear on the rights of your tenants before drafting a lease, and make sure to adhere to them. Landlord-tenant disputes can be very expensive and time-consuming. The best way to avoid them, in addition to selecting good tenants, is to be very clear on what you can and cannot, and crafting a lease agreement that falls squarely within those parameters. Make sure your lease terms are clear and specific. Also make sure that after they vacate the premise that you return their security deposit.
Employing a property manager for a residential property
Look for local, licensed managers/firms with experience in planning, dealing with legal matters and problem tenants, and with good references. Once again, oversight is essential, as is a plan for ensuring tenant satisfaction and profitability.
If you hire a property manager that does their job well and gets along with the tenants you’ll have more success in your rental property business.
Dear real estate property owner, if you want to find a real estate property for you, make your investment work properly or have a peace of mind and not worry about your second home in Barcelona, just call Kakdoma BCN. We will help you to achieve your goals in Barcelona.
Source: Cleverism, Expatica