For a long time, homeowners are looking for the perfect guide to manage their property through a Property Management Company.
As a service provider, Property Management Companies come up with new business models to make their services more valuable.
What is a Sub-lease agreement?
It is a contract between the Owner and Tenant, which transfers the owner’s rights to exclusive possession and use of the property for a specific period of time to the tenant.
Disadvantages of Sub-lease
In this case, the Property Management Company becomes your tenant and they have control over who they sub-let the property too.
There is no scope for transparency and you will remain in the dark about who is using your property.
Property Management Companies assure monthly rent in order to attract you to this type of model. However, in recent times, this model is proven to be highly unreliable.
You should instead opt for a Leave and License Agreement.
What is a Leave and License Agreement?
This agreement is governed by the Indian Easement Act. Under this Agreement, you will only provide a license to use your property for a specific purpose and no transfer of right to possession.
Advantages of Leave and License agreement
Under a Leave and License agreement you can clearly set out the purpose of License and therefore there is no scope for misuse of your properties as it is Illegal for the Property Management Company to use it for any other purpose.
You can also have control over the choice of tenant.
Click here to view a sample Leave and License Agreement.
In simple words, you can pass on the headache of managing your property to a Property Manager and retain 100% ownership and control over your property.
At PropertyAngel, we ensure to safeguard your rights as a property owner. We sign a leave a License agreement where we obtain the right to only manage, operate, rent and lease your property.
The above flow chart enumerates the process any good property management company should follow, and PropertyAngel does exactly the same.
At the Tenant Agreement Stage, after obtaining a No-objection from you, a leave and license agreement is signed between the tenant and PropertyAngel.
A leave and license agreement are used as scope for misuse are minimal and its hassle-free for the property owner and the tenant.
At every stage, PropertyAngel ensures to keep the owners informed to ensure transparency.
Benefits of signing up with PropertyAngel:
Want us to manage your property?
Reach out to PropertyAngel on call us at 91-80-47095974 / 91-7406484455