Renting out houses to businesses - things to consider

Owning a property is not only a home, but also an investment. If you have a house or part of a house that is empty, you may want to think about turning it into a source of income by renting it out to a business. Here we highlight both the benefits and some of the things you should consider before deciding.

Why rent to businesses?

Financial benefits: Rents from companies tend to be higher compared to private rentals, increasing your return. But remember that there are rules around fair rent.

Long-term stability: Companies often look for housing for long periods, giving you as a landlord a longer financial security.

Less wear and tear: Properties rented to corporate commuters or short-term employees generally see less wear and tear.

Possible challenges when renting to a business

Negotiations: Companies may have the resources to negotiate hard in case of disputes.

Who lives in the property: You have a contract with a company, but may not always have full insight into who will actually live in your property.

High expectations: Companies often have high expectations of the condition and facilities of their homes.

Preparing before you rent out

Insurance: It is crucial to have the right insurance in place. As a landlord, you need home insurance for the rented property. At the same time, the company renting the property needs to take out liability insurance that includes the property in question. This protects both you and the company from unexpected events or damage. Read more about what you should consider when it comes to insurance here.

Preparing the property: Before renting out, it is important that the house or apartment is in the best possible condition. A well-cleaned and maintained property gives a professional impression. Read more about how to clean your home before renting it out here.

Legal help: Consider hiring a legal expert to help with the rental agreement to ensure everything is correct.

Conclusion

Renting out your house to a business can be a great way to get a stable income and benefit from your housing investment. With the right preparation and understanding of both the benefits and challenges, you can ensure a positive experience for both you and your business tenant.

Ready to start your rental journey? Soxbo is by your side through the whole process. Contact us today or create an ad here to get started.