Landlord and Tenant

A landlord is an owner of real property who agrees to rent all or part of a property to another party, called the tenant, for some period of time. A lease establishes the relationship of landlord and tenant. The lease is both a conveyance of a possessory estate in real property and a contract between the landlord and tenant. The tenant receives a right to legal possession of the property in exchange for valuable consideration (rent) paid to the landlord. A lease typically specifies the duration of the agreement, any terms for extending the agreement and details regarding the payment of rent.

Because a lease acts as both a conveyance and a contract, two sets of rights and duties between the landlord and tenant arise; namely, the rights and duties that exist in regard to traditional property law rules, and those arising because of the contractual promises of the lease. In addition, many states have legislation designed to protect the rights of residential tenants, such as the right to fit housing and privacy, and statutes that protect tenants from acts like illegal discrimination and retaliatory evictions.

Landlord-tenant laws vary depending on location.

Buying property to Rent

It may be common knowledge that buying rental property can be one of the most secure and fastest ways to build serious wealth – but the "how to" knowledge is not so common. The steps to buying rental property, however, are not that drastically different from buying your own home, with a few important differences. This process is going to explain step by step how to buy a rental property and begin your entrance into real estate investing also please be assured that Raavstar is not only going to help you in all the below steps of your investing experience but educate you and build confidence for your future investments and convert you to an Investor:

1: Do Your Homework before Buying Rental Property

Please – please don't skip this step. As soon as you've made your decision that you want to buy rental property, it can be easy to start shopping for homes and picking out the paint colors. However, your first step begins long before ever stepping foot into a house. Doing your homework ahead of time means researching:

• What kind of investment property you want to buy
• How much you can afford to pay
• What kind of neighborhood you want to invest in
• What the average rent is in your area
• What kind of return on investment you hope to make.

2: Make a Plan and Develop Criteria

Once you've done your initial homework, you can begin making a plan and setting your criteria. I highly recommend you write down your plan and goals, and refer back to them often. If you are looking to buy a single family home for between $150,000 and $200,000 – it's easy to get distracted by the home with the beautiful garden for $250,000. By stating your plan and your criteria, you can hold yourself accountable to your goals.

3: Arrange Financing

One of the most common mistakes made by homebuyers is to start searching before arranging financing. However, this error has caused untold heartache when buyers find they can't afford the dream home they've found. This same principle applies to buying rental properties. Before shopping for your new rental property, be sure to talk with a bank about how much you can afford to buy. There are numerous different paths to real estate financing so be sure to weigh all your financing options before making your choices.

4: Begin Shopping For a Rental Property

Now comes the exciting part! Raavstar specializes in working with investors, as we are more keenly aware of what makes a good rental property. Also – be sure to share your criteria (See step 2 above) for your rental property, and allow us to help you find the best properties that meet your qualifications.

5: Make Your Offer

When you find a rental property you want to pursue, and have walked through it, your next step is to make your offer. To do this, your real estate agent will fill out the paperwork based on your requests and submit your offer to the selling agent. The selling agent will bring your offer to the seller, and negotiations will begin.

6: Due Diligence

You've finally agreed on a price and you have a closing date set. Now, it's time to begin your "due diligence." During this period (according to the dates specified in your offer) you will hire an inspector to perform a condition inspection on the property, looking for any defects that may cost you money in the future. If something is found, you can always go back and re-negotiate with the bank (as long as it is within your "inspection contingency" timeline, as specified in your offer.)
If you are buying in a "hot market" it may not be wise to nickel-and- dime the seller, or they may refuse to perform the steps and walk from the deal, giving it to someone else. On the other hand, it's important that you don't get stuck with a property that has major problems – so be sure to weigh the decisions carefully and keep your goals in mind at all times.
During this time between "mutual acceptance" and closing – you will also finalize the financial arrangements with your bank or other lender. This is also the time when the Title Company or Attorney, depending on your local customs, will take over facilitating the transaction. When the day of closing comes, you will sign documents and will be given keys to your new rental property.

7: Start Landlording

Finally, the deal has closed and you are now a landlord! Again here Raavstar will help you lease your investment property and get a responsible Tenant based on our experience, research and below robust Tenant selection process:

• Raavstar will list your property for leasing
• Get rental applications
• Perform credit and background checks
• Get all the required documents to qualify Tenant
• Prepare and execute lease agreement
• Collect security deposit and first month rent
• Final walk through and move-in Tenant

8: Property Management

If you are not interested in day to day operations of being a Landlord then we can help you manage your property for a nominal monthly fee and engage your Tenant. You can relax focus on being an active Investor and buy another investment property and develop a Real Estate portfolio of properties for a better retirement in long term.