Guaranteeing Rentals with a Twist Tech start-up Doorstead developed its own spin on iRenting. Currently operating in the San Francisco Bay Area, Los Angeles and Orange County, the company presents the property owner with a proposal that includes a minimum guaranteed rent amount and a promise to rent the home within a certain number of days. If they do not find a tenant within the agreed-upon timeframe, they begin paying the rent to the landlord. For 8% of monthly rent, Doorstead prepares the property for the marketplace by managing repairs, cleaning, photography, listing, showings, and tenant screening. Once the home is leased, they will collect and distribute the rent, conduct annual inspections and deal with evictions, if necessary. Wholesale Rentals This method is utilized when a property manager contracts with a property owner to provide them with a guaranteed sum in return for the right to rent a unit. The owner receives the fixed monthly amount over the term of the contract without the financial risks involved with collecting rents from tenants and trying to keep the property occupied. The risk lies with the property manager who is still obligated to pay that promised amount of money even if the home becomes vacant during the contract. Rezi leases apartments wholesale from landlords and rents them to tenants at current market rates. Property owners begin receiving rent as soon as they sign with the company and don’t have to wait for the unit to be rented. The Bottom Line Guaranteed rent programs, especially those backed by a thorough tenant screening report, are a great way to help ensure rent is always paid, no matter what. They can provide peace of mind for landlords and tenants alike. There are both pros and cons to leasing with a rent guarantee program, so it’s important to do your research about options offered in your area before signing any agreements.
THE RESIDENTIAL RENTAL FIELD IS BEING TRANSFORMED BY THE IRENTERS.
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