RENTERS
Before you consider renting a house, ask yourself if you have all the necessary information and facts needed to determine if the house is a safe long term rental - even if you just cover the basics.
Tips: When renting a home (single family residence) you need to be very careful and determine if the possibility exists for the property owner to bail on that property or not. You can research yourself or contact someone who can research for you.
The Basics
Complete an extensive research of local market conditions, including:
the listing and rental price of all houses in your area for the last six months,
the listing price of rental houses currently on the market, and
the days on market of houses for rent that are on the market but have not been rented.
Tips: Begin your research on the Internet. Follow-up by visiting the county tax records office to determine the selling prices of houses for rent to estimate the RTM (rent to mortgage) ratio.
Put together a research option plan.
How is the rental house being marketed?
How much money can you afford for rent and utilities?
Renters can use a fact sheets to take with them when they drive-by or tour a house for rent.
What area will best provide for your needs?
What will potential landlords require, for and of potential tenants?
Who will schedule viewing appointments?
Qualify the Property Owner !!!
Confirm that the potential landlord can make the mortgage loan of the rental property.
If the owner is moving, confirm that they have the necessary resources not to fall behind in mortgage payments.
If the owner needs a signed lease/rental agreement to qualify for the purchase of another home, determine if there is the required equity in the rental property to qualify.
Negotiations, Contracts and Closings
Are you prepared to negotiate the contract?
Do you know what the legal responsibilities of the landlord are in your area?
Who will write the contract? Will you need to hire an attorney? If so, what will be the attorney's fees?
Tips: Know what your rights are as a tenant. Don't get caught in a "Buy and Bail" scheme. Additional information can be found at www.ArizonaTenants.com - Arizona Tenants Advocates
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Arizona Appraisal & Consulting can provide real estate service and information to renters that are looking to rent in Maricopa and Pinal Counties (excluding apartments) with pre-rental consulting needs.
AZAC
(FHA Appraiser)
Arizona Appraisal & Consulting is USPAP Compliant