There are so many reasons that you wish to rent out your house, such as you want to sell the house but the price offered by the buyer are not right. Or you have an extra property which you inherited and left vacant.
Common Landlord risk:
1) Cheating or dishonest tenant
A tenant who cheats will have a higher tendency to give excuses such as not able to pay rent on time, or always offer partial payment, he split the full rental payment into a few portions. This seems to be one of the biggest worries by the landlord.
2) Tenant conduct illegal activity or misuse the property
There is always a risk which landlord would have to bear in mind, the tenant may misuse the property. They may conduct illegal activity such as criminal activities, conduct business in the rented unit without proper licensing, use as a store for illegal items or highly flammable item. Or student conducting a chemical experiment in the house.
3) Tenant damage the unit
The tenant does not take care of the unit or common facility or they may tear down a wall, illegal renovation. Landlord running the risk of bearing the cost to refurbish the whole unit. Furthermore, the landlord also lost in the time cost, where it may take up few weeks before the unit is ready for next tenancy.
Above are a few risk which Landlord should aware. Wise old saying, precaution is better than cure. You can take up steps to minimize the above by first do basic due-diligence of your potential tenant to do screening process, and secondly, do some regular check on the property by paying a five to ten minutes visit to the tenant to create rapport and do some basic property maintenance or checking.
We hope the information above will able to give you some pointer about what to consider before buying a house in Malaysia. What do you think? Like, share & comment your thoughts. Subscribe for latest updates.