On Leasing Property, legal procedures and financial agreements

Feb. 4, 2011 - PRLog -- Leasing out a domestic property involves a number of legal procedures and financial arrangements. You can look for a tenant on your own or appoint a licensed estate agent to handle the leasing of your property. In either case, you are required to provide accurate property information to your potential tenant before entering into a lease. If you choose to engage an Agent, you should clarify with him or her details of the engagement such as the amount of commission and the time of payment.

Before entering into a lease agreement, the lessee should ensure/ verify:
1.   that the lessor has proper title of the property.
2.   the society share certificates are authentic in order to ensure that the lessor has the title to the property.
3.   the lessor is either the owner of the property or an authorized power of attorney holder. The agreement should be signed by the lessor himself or his duly authorized Power of Attorney.
You need to be aware of your rights and responsibilities as a landlord and pay attention to the following points to ensure a smooth leasing experience. Here are useful tips on leasing of property for the landlord/lessor:
•   Get a broker or a lawyer to review the lease of any obligation or duty and to delve more deeply into the business points of the lease.
•   Make sure that any lease you consummate will produce the intended result, in an enduring manner, beyond when the property is to be mortgaged or sold.
•   The Lease Agreement should meet the needs of both tenant and landlord. The lease should be thoughtfully drafted and can severely impact your return on investment.
•   Structure the terms of a renewal sensibly keeping in mind the tenant's negotiating posture.
•   Keep a copy of the lease agreement as the tenant may request a copy of it in their first Request for Proposal.
•   Keep the property furnished and ensure good condition of the furnishings. The potential lessee might want to inspect it. Also issues like sufficient infrastructure (i.e. access roads, power, water supply, shopping areas, hospitals, bus stations, recreational facilities, etc.) have an important bearing on the value of the property. If there is any leakage, the lessor should ensure that it is rectified.
•   If improvements are required in electrification, it should be listed and immediately attended to. The lease negotiation process must be made as simple and efficient as possible for both the parties. Delays over minor details will lessen the interest.
•   Almost all commercial lease deals with the possibility of casualty damage. The tenant should be able to understand whether the premises can be used within a reasonable period after the damage, or calls for alternative leasing arrangements. He/she would also want to know whether they will be required to spend additional funds to return to normal business operations.
For more details contact the Expert Real Estate / Property Attorneys & Lawyers at :
Global Lawyers
Call: 0091 9810153965
Visit : http://www.globallawyers.in