What are rental nomads?
Rental nomads are people who rent a flat without any intention of paying the rent or treating the flat properly. This can be a major problem for landlords, as missing rent payments can leave them in financial difficulty and having to repair any damage to the property at their own expense. Fortunately, there are some steps landlords can take to protect themselves from rental nomads.
- Thorough examination of potential tenants: This includes the verification of employment and housing conditions, the verification of credit and assets as well as the verification of references.
- Drawing up a secure rental agreementThe tenancy agreement should include the rental payment dates, the amount of the deposit and the rules for damage to the flat. It is also important that the landlord collects rent payments quickly when they are due and addresses any breaches of the tenancy agreement quickly.
- Rent guarantee: A rental guarantee is a type of insurance that landlords can take out to protect themselves against potential losses caused by tenant nomads. A rental guarantee can help landlords to minimise their financial losses if a tenant defaults on payments or damages the property.
How can landlords thoroughly check their tenants to protect themselves against tenant nomads?
The first step a landlord can take is to obtain references from previous landlords. This gives the landlord an insight into the tenant's rental history and can provide initial clues as to whether there have been any anomalies with the tenant in the past. It is also important that the landlord ensures that the references are from real people and not made by friends or family members of the tenant. Another important step a landlord can take is to financially verify the tenant's financial situation. The landlord should ensure that the tenant has sufficient funds to pay the rent and any costs incurred. This can be done by checking payslips and bank statements. In addition, the Schufa report is another important point of reference that can indicate whether there have been problems with the tenant in the past.
How can a landlord protect himself against tenant nomads with a secure tenancy agreement?
A secure tenancy agreement is the be-all and end-all when it comes to protecting yourself as a landlord against rental nomads. Unfortunately, there are always people who rent a flat and then don't pay for it or leave it in a poor condition. But what is the best way for landlords to protect themselves against this type of abuse?
- Credit check: This should preferably be carried out by a professional service provider who has the necessary resources and knowledge. This involves checking information such as the potential tenant's employer, income, assets and any Schufa entries. This allows you to quickly recognise whether the tenant is in a position to pay the rent regularly.
- Deposit and security deposits: This is a sum that the tenant pays in advance and which can be retained in the event of rent arrears or damage to the flat. However, it is advisable to have the amount of the deposit or security deposit legally checked to ensure that it is not unreasonably high.
- Tenancy agreement clauses: Another important aspect is the drafting of the tenancy agreement. Certain clauses should be included that grant the landlord certain rights in the event of late payment or damage to the flat. These include, for example, the option to terminate the tenancy without notice or to reclaim the flat. The regulations on the repair of damage should also be clearly defined to avoid ambiguity.
How does a rental guarantee work - and how can it help against rental nomads?
A rental guarantee is a document that is signed by a third party, usually a guarantor, and provides the landlord with additional security in the event that the tenant is unable or unwilling to pay the rent. In this case, the guarantor assumes responsibility for the outstanding rent and takes the place of the tenant. A rent guarantee can be particularly important for landlords who are dealing with tenant nomads. Tenant nomads are tenants who provide false information when signing the contract or do not adhere to the agreed payment terms after moving in. They often do not pay on time or not at all, causing the landlord considerable financial losses. In this case, a rental guarantee can help the landlord to protect himself against rental nomads. This is because the guarantor assumes responsibility for the rent if the tenant does not pay it. In this way, the landlord has additional security that he will get his money.
A rental guarantee must be in writing and signed by both parties, the landlord and the guarantor. It is usually concluded together with the tenancy agreement. The guarantor usually has to deposit a certain number of months' rent as security, which can be used in the event of non-payment by the tenant. It is often also possible to deposit a bank guarantee, which is signed by the guarantor and also serves as security. It is important that the guarantor has sufficient financial resources to cover the rent if the tenant is unable or unwilling to pay it. The guarantor should also have a certain degree of financial stability to ensure that they will be able to pay the rent in the future.
What steps can landlords take against tenant nomads?
There are a number of ways in which landlords can take legal action against tenant nomads. However, it is important that they act quickly and gather enough evidence to back up their claims. The first and most important measure for landlords is therefore to document all rent payments and damages. This can take the form of receipts, bank statements and photos. In this way, the landlord can prove that the rental nomads have not made their payments and have caused damage. The support of solicitors and debt collection companies can also help to take successful action against tenant nomads. Landlords can then initiate a whole range of measures against tenant nomads:
1) Action for eviction: If the tenant nomads do not make their payments, the landlord can file an eviction suit. This is a lengthy process, but it can be successful if the landlord can provide sufficient evidence. However, the landlord must ensure that he complies with the legal deadlines and takes all necessary steps to enforce the eviction.
2) Interim injunction: This can be applied for if the tenant nomads pose a danger to the other tenants or cause damage to the flat. A temporary injunction can lead to the rental nomads being evicted from the flat without the need for a lengthy process.
3) Possible claims for damages: He can do this if the tenant nomads have caused damage to the flat or if they have not paid the rent. In this case, the landlord can file a lawsuit to obtain compensation for the damage caused. In this case, it is important that the landlord can provide sufficient evidence to support his claims.
4) Debt collection companywho take care of the collection of outstanding rents: They can draw the rent nomads' attention to their obligations and, if necessary, take legal action.
Note: The content of this article does not constitute business, legal or tax advice. Please seek professional advice if you have any questions.
