Housing for Rent
Housing for rent is greater presently because of the housing crisis that is related to the sub-prime crash and the steady increase in foreclosures because of the poor economy.
Looking for rentals is about location, schools, proximity to employment, security, etc. The very first priority for a prospective renter in finding housing for rent is to select a Realtor you can trust. If you have some issues with your credit or bad credit, don’t be alarmed because there are some prudent strategic management alternatives that can be utilized for housing for rent. Henceforth with many of the housing inventory in foreclosure and the probability of a housing recovery is good either before the election or after. However it would be an ideal time to negotiate a leasing agreement with the option to buy. Also it would be an ideal time to negotiate a land contract on a prospective house instead of just housing for rent.
It appears that beginning in 1994 the home ownership rate in the United States was only 64%, but it increased to 69.2% during 2004 which was an all time high rate of ownership and the opposites of those percentages is housing for rent. This type of information demonstrates that the structural parameters of the economy will only allow up to 64% ownership rate. It becomes apparent that 100% home ownership is bogus and far beyond a dream.
The numbers of borrowers that are in default are at an all time high or 5 million. They are behind in at least 2 or three months of their rent. The industry estimates that at least 1.2 million home will be foreclosed upon by the end of 2011.
The above information about home ownership and foreclosures is good news for housing for rent. As the market for housings for sale diminishes, the market for housing for rent becomes more competitive. Also because the recovery for housing for rent is nearby it possibly becomes profitable for a renter to create a hybrid and be in a profitable position when they want to relocate. A hybrid in terms of real estate is a transaction that is part housing for rent and part home ownership such as a leasing agreement with the option to buy and a land contract that still increase demand upon real estate listings.
The lease option or lease purchase term is negotiable. Also the option can be anything down to $1.00. All options can be sold to somebody else and the property can not be sold during the option period. We are possible in the threefold of a market correction and this type of contract could possible put a person transacting housing for rent in a profitable position.
Another alternative method of transacting real estate that gives the individuals more leverage than housing for rent transaction is a land contract or installment sales contract. This type of contract gives the buyer more equity in the property than housing for rent. The Vendor or Owner agrees to sell the property to the Buyer or Vende. It normally mounts to a small down payment and reasonable monthly payment with an agreement to purchase the property at a future date.
LEASE AGREEMENT FOR HOUSING FOR RENT
ARTICLE OF AGREEMENT this _____ day of __________ 2005, by and between _______________________ of____________________________________, hereinafter referred to as the "LANDLORD",
_________________________ of__________________________, and ______________________of _____________________________, hereinafter referred to as the "TENANTS".
WHEREAS, the Landlord is the owner of certain premises situated at________________________, Borough/Township of _____________, County of __________________ and Commonwealth of Pennsylvania, hereinafter referred to as the "Leasehold Premises"; and
WHEREAS, the Tenants desire to rent and lease the Leasehold Premises from the Landlord and the Landlord has agreed to lease the same to the Tenants upon the following terms and conditions.
NOW, THEREFORE, the parties hereto, intending to be legally bound hereby, do covenant and agree as follows:
1. In consideration of the rents and covenants of the Tenants to be paid and kept as herein contained, the Landlord has agreed to lease unto the Tenants, and by these presents does hereby lease the Leasehold Premises unto the Tenants and the Tenants hereby lease the Leasehold Premises from the Landlord.
2. The term of this lease shall extend from _______________, 200__ to and through _______________, 200__, during which time, the Tenants occupying the Leasehold Premises under lease from the Landlord, shall be entitled to the use and occupancy of the Leasehold Premises.
3. The rent reserved by the Landlord for the Leasehold Premises for the term herein provided shall be ____________________________ ($______.00) Dollars, which the Tenants hereby covenant and agree to pay to the Landlord, for the use and occupancy of the Leasehold Premises, payable in installments of _________________ and No/100 ($_____.00) Dollars each month during the term of this lease, payable in advance on or before the first day of each month, with a credit to the tenants of ______________________ ($______.00) Dollars against the final month’s rent (the month of ______ 200__) as a result of the tenants’ prior deposit with the Landlord of the final month’s rent for the preceding lease year which the tenants elect to pay directly to the Landlord on or before __________, 200__.
4. The Tenants shall further pay to the Landlord, prior to occupancy of the Leasehold Premises, a security deposit in the sum of _____________________________ ($_____.00) Dollars, the receipt of which is hereby acknowledged as having been heretofore deposited with the Landlord in conjunction with the Lease of _____________, 200__, to be held as security for any damages to the Leasehold Premises, or as payment, in whole or in part, for any costs or expenses incurred by the Landlord resulting from the failure of Tenants to surrender the premises in the condition described in Paragraph 9 herein. Unless withheld by the Landlord, in whole or in part, by reason of any damage to the Leasehold Premises, the security deposit shall be returned to the Tenants within thirty (30) days after the termination of this lease, provided that the Tenants have delivered to the Landlord a forwarding address, in writing, at or prior to the date the Tenants shall surrender the Leasehold Premises to the Landlord.
5. During the term of this lease the Landlord will assume payment for the water bill and garbage collection. The Tenants shall be responsible for all other utilities, including gas, electric, telephone, cable and any service fees required for the installation of these utilities.
6. The Landlord will provide garbage containers. A recycling container is also provided the Tenants for glass and aluminum cans. It will be the Tenants' responsibility to place garbage containers and recycling container at the curb for pick up on Monday evenings and to return the recycling container to its appropriate place no later than Tuesday evening. The Tenants agree to keep and maintain the Leasehold Premises, parking lot and surrounding area in a clean and sanitary condition at all times, free of all garbage and debris. All garbage and similar debris shall be deposited by the Tenants in facilities provided by the Landlord for garbage collection. The Tenants shall comply with all municipal regulations imposed by the Borough/Township of _____________ relating to the collection of garbage and similar debris.
7. During the term of this lease, the Landlord shall provide for the necessary repairs and maintenance of the Leasehold Premises. The Tenants shall not provide, nor arrange for any repair or maintenance of the Leasehold Premises, and the Landlord shall not be responsible or liable to the Tenants, or to any other person, for the costs of any repair or maintenance provided or arranged by the Tenants. The Tenants shall promptly notify the Landlord of the need for any repair or maintenance to the Leasehold Premises.
8. The Tenants hereby covenant and agree to use and occupy the Leasehold Premises for residential purposes only and for no other purpose. There will be no pets allowed on the premises, except as allowed by Landlord.
9. The Tenants hereby agree to keep and maintain the Leasehold Premises in as good repair and condition as that now existing and at the expiration of this lease to surrender the Leasehold Premises in like repair and condition, natural wear and tear excepted.
10. No loud music may be played at any time, and the Tenants shall conduct themselves in a quiet manner at all times.
11. The Tenants hereby agree to observe all reasonable rules and regulations imposed by the Landlord for the use and occupancy of the Leasehold Premises, and parking on facilities to be provided by the Landlord, and such rules and regulations shall be deemed to be conditions and covenants of this lease. The Landlord shall provide parking space for one (1) motor vehicle in the parking lot at a space to be designated by the Landlord. Any rules or regulations established by the Landlord relating to parking shall be strictly observed by the Tenants and may be subject to change at the Landlord’s discretion.
12. This lease, and the use and occupancy of the Leasehold Premises, may not be assigned, transferred or sublet, without the express written consent of the Landlord which will not be unreasonably withheld.
13. The Landlord, and/or the agents of the Landlord, may at any and all times during the term of this lease, enter into the Leasehold Premises for the purpose of inspection and/or repair, and for purposes of exhibiting the Leasehold Premises to prospective tenants, upon prior notice to the Tenants, except in the case of an emergency.
14. The Tenants hereby waive the usual notice to quit, and agree to surrender the Leasehold Premises at the expiration of the foregoing term, or the termination of this lease, without any notice whatsoever.
15. This agreement contains the entire agreement and understanding of the parties hereto with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements. This agreement may not be modified, cancelled or otherwise amended unless in writing, duly executed by the parties hereto.
16. This agreement shall be binding on and shall inure to the benefit of the parties hereto, their respective heirs, successors, personal representatives and assigns.
17. This Lease may be signed in one or more counterparts, and all such counterparts shall form but one integrated agreement. This Lease may be executed by facsimile signatures.
18. The obligations of the Tenants herein shall be joint and several for housing for rent.