You pay $20,000 for a car and would not dream of giving someone near total control of when you can use or sell your auto. You would not let any one control your things and dictate when you could use or sell them. Why do it with a house that you are using for a rental property?
I have learned (sometimes the hard way) that a year long lease is generally not in my best interest as a landlord. When I tie up my property that way I give almost all of the control to the tenant. If my tenant fails to pay rent or turns out to be a slob I will have to go to court to evict them. If I have a month to month contract I can give notice. In most places the judge will look upon someone who squats in a bad light. Even a great renter will leave early if she gets a new job in another city. If I want to sell I can move someone quickly.
In the event of a sale we can lose out if a new owner wants in the property.
Think about month to month leases. They work. Also, renters won't walk away if they like your property.
You pay $20,000 for a car and would not dream of giving someone near total control of when you can use or sell your auto. You would not let any one control your things and dictate when you could use or sell them. Why do it with a house that you are using for a rental property?
I have learned (sometimes the hard way) that a year long lease is generally not in my best interest as a landlord. When I tie up my property that way I give almost all of the control to the tenant. If my tenant fails to pay rent or turns out to be a slob I will have to go to court to evict them. If I have a month to month contract I can give notice. In most places the judge will look upon someone who squats in a bad light. Even a great renter will leave early if she gets a new job in another city. If I want to sell I can move someone quickly.
In the event of a sale we can lose out if a new owner wants in the property.
Think about month to month leases. They work. Also, renters won't walk away if they like your property.
Roy Voeks
Official RE Coach