Good morning, Mr Molenda. What are the most common problems associated with renting out an apartment?
Good morning. There are really many problems associated with renting out property. In addition to those you mentioned at the beginning, we also often encounter more “prosaic” but equally significant issues – for example, who is responsible for repairing household appliances, the electrical installation or a leaking tap. Disputes also arise over mould in the property, utility settlements and advance payments to a homeowners’ association or housing cooperative. The subject is so broad that there would easily be enough material for a multi-volume novel. The most difficult situations, however, remain non-payment of rent, damage to the property and tenants’ refusal to vacate it.
What can we do if we have already ended up with dishonest tenants?
Polish law – to put it mildly – is not favourable to owners of rented apartments, but certain options for action do of course exist. First and foremost, it is important to terminate the lease effectively. By “effectively”, I mean in accordance with the applicable legal provisions, not necessarily merely with the terms of the agreement itself. Agreements often contain provisions that have no legal force. After terminating the agreement, the tenant must be called upon to vacate and empty the property by a specified deadline. What happens next depends on the tenant’s response. If they move out, we have overcome the first stage of the problem. If not, we have two options: mediation involving specialised entities or initiating eviction proceedings. At the same time, steps should be taken to recover the outstanding amounts – it is important to collect documents such as payment demands, statements, payment confirmations and so on.
Can you protect yourself against dishonest tenants?
Of course. First, it is worth carefully verifying potential tenants. Second, prepare a sound agreement tailored to the specific property and situation. It is best to conclude an occasional lease agreement, which gives the owner more options in the event of problems. You can also purchase rental insurance or use a rent payment guarantee. Another good solution is to require the tenant to have what is known as tenant liability insurance.
What mistakes do owners of rented apartments make most often?
The first and very common mistake is using ready-made agreements from the internet that are not tailored to the specific situation and often omit important provisions. Another mistake is allowing tenants into the property before the full deposit has been paid. Lack of control over the property can also be a major problem. If the owner does not commission us to manage the rental but only uses our brokerage service, we always stress that the property should be visited from time to time and its condition checked. Owners also often fail to verify tenants’ identities and histories, and they misprice the rent.
You mentioned two different services: rental brokerage and rental management. How do they differ?
Rental brokerage includes preparing the listing, finding a tenant, preparing and signing the agreement, and handing over the property. The broker’s role ends there. Rental management, on the other hand, means comprehensive care of the property. In addition to preparing the listing and finding a tenant, we sign the agreement on the owner’s behalf, collect the deposit and monthly payments, settle fees payable to the homeowners’ association/housing cooperative, settle the rent every month, monitor the condition of the apartment, handle repairs and reports, complete the final settlement with the tenant, take back the property and look for subsequent tenants. If necessary, we also conduct pre-litigation debt collection and prepare documentation. Naturally, everything is done in constant consultation with the owner.
Thank you for the interview. And we encourage you to use the services of Centrum Nieruchomości Molenda & Molenda.
Contact:
Tel. 734 454 747
molendanieruchomosci.pl
molenda.nieruchomosci@gmail.com
ul. Łasicka 21
59-700 Bolesławiec
