New residence sales have been going well for several months, but many buyers are still on the wait and observing the property market. But not everyone can wait forever, especially the newlyweds. Those who are on a tight budget would not risk buying property when prices are sky high. Instead, they would rather rent a flat as a less risky option. Whether you are a beginner or have got some hands-on experience in renting, here are some tips that can help turn you into an even smarter renter.

(1) Mortgaged properties

Some rental properties are still under mortgage and subject to the terms or conditions in the mortgage contract. Before entering into a tenancy agreement, the owner of the mortgaged property should seek out the mortgagee’s prior consent to the letting of the property. On the other hand, the tenant should check the land records of the property to verify the identity of the owner and find out if the property has been mortgaged to a bank or another financial institution.

(2) Subletting

If you are low on cash and don’t mind getting more people to share the rent, you can try to sublet your flat through real estate agents. The first thing that the tenant needs to do is review the tenancy agreement. If subletting is not in breach of the agreement, then he should inform his landlord on the subletting issue and ideally get his prior written consent. In addition, when drafting a sub-tenancy agreement, make sure the rental period doesn’t exceed the one in the original tenancy agreement.

(3) Three and a half month’s rent

Just like a deposit for home purchase, a tenant should have an amount of money ready, which is equivalent to three and a half month’s rent. This amount includes the deposit (2 months), advance rent (1 month) and agent fee (half a month). When it comes to the contract renewal stage, you can buy a set of tenancy agreements at a book shop, fill in the necessary information and keep one as a record. By doing so, you can save money on agent fee. But before doing that, you should get your landlord’s consent.

Read the following articles for more renting tips:

Stamping of Tenancy Agreement

Rental Terms In Tenancy Agreement

Is it possible to make any alterations to a rental property?

How to rent an apartment with a pet

Date: 2014-07-16