There are several advantages of owning multiple residential properties. You can lease a property that you are not currently using and supplement your income significantly. There are several responsibilities that accompany this added income. To ensure the rights of the tenant as well as the landlord, the state of Indiana has several laws which you will not only need to be aware of, but also adhere to, or risk facing legal actions. It is best to make a little effort and educate yourself on what the scope of your authority, and responsibilities are when it comes to the property you lease out to someone.
• You should always ensure that every term and condition that you and your tenant agree upon must be included in the rental agreement. You should also make sure that it contains no terms or responsibilities that you do not wish to perform. The state of Indiana mandates that once an agreement has been reached between a landlord and his tenant, both parties must adhere to it. You will be required to provide the property to the client exactly like it has been specified in the rental agreement, and it should always be in a habitable and hygienic condition.
• A rental home must comply with the same housing codes and regulations that your personal home does. This means that every property that you own, and has people living in it must pass the criteria set by the state of Indiana for residential buildings.
• The common area of a rental property is your responsibility. Always make an effort to ensure that this area is clean, and not in need of some major repair or renovation.
• If the electrical system, plumbing and sanitary systems are described and included in the rental agreement, then you should make sure that these facilities are in working order.
• Set up a payment date and mode of payment with the tenant and ensure that they are able to pay the lease amount in a regular and timely fashion.
• In case of non payment of the lease amount, you must serve a minimum 10 day notice period to the tenant. If within this period of time you are not provided the full rent for your property, you have the right to evict them.
• You have the right to collect a security deposit from your tenant. In Indiana, a landlord is allowed to use the security deposit that they are given for a number of activities related to the rented premises. It can be used for the purpose of paying the rent that the tenant has not paid yet. Any financial damage suffered by the landlord in case the tenant does not comply with state or federal laws can also be paid off using the security deposit. The same holds true for sewage, and utility charges for the services that the landlord provided to the tenant. Any money that remains at the end must be returned to the tenant along with a detailed report to show where the remainder of the money was spent.