Renting from a private landlord can add a personal touch to a transactional process.
The kneejerk reaction of many renters is to search for apartments owned by a big company, complete with all the bells and whistles that implies. That said, it’s always a viable option to rent from a private landlord. In fact, depending on your way of life and communication style, it might actually be preferable to work directly with one property manager, rather than a whole office full of associates.
There are perks and drawbacks to both options. Let’s dive right in and learn all about the pros and cons of renting from a private property manager. First, the up-side.
Pro: private property owner, personal touch
Some private landlords lease out rental properties like condos, townhouses or single-family homes where they used to live. Because of this, they’re often more emotionally involved in the property than a faceless corporation. For other landlords, the rental property is a serious investment, so it’s important to keep the place well-maintained.
There’s also the fact that the typical individual landlord only has a small number of rental properties. This means that a new resident is likely to get a lot more individual attention than tenants in a community handled by a large management company.
Pro: easier communication
A tenant with a question, problem or maintenance requests need only contact one person when renting directly from a private landlord. This is a welcome change from large property management companies, which often require renters to fill out online forms or call special numbers for different types of requests.
That said, do try to honor some sort of business hours, unless your need is a true emergency. Private landlords need some downtime, too! Also, make sure to maintain honest and clear communication to develop a professional, trusting relationship with the property owner. That’s in everyone’s best interests!
Pro: more flexibility
Landlords in big communities are often hogtied by corporate policies and contracts and such. A private landlord, however, can make adjustments without having to go through a bunch of channels. So, for example, a renter who decides they want to get a cat can simply ask special permission from the private landlord to adjust the pet policy and have an addendum added to the contract.
Pro: more privacy with private owner house rentals
People who rent houses from a private landlord enjoy quite a lot more privacy than those who rent apartments. They don’t have to share a wall, walkway or parking lot with anyone else, after all.
Pro: fewer rules
Large apartment communities have to have a lot of rules in place to keep the peace. And, while a renter of a house should still be responsible and respectful of neighbors and follow city ordinances, individual landlords tend to impose fewer restrictions than a large property management company. So, if autonomy is your thing, consider looking at houses for rent.
A private landlord may also choose to forego the expense of doing a background check for a new tenant, in favor of getting a general rental history. Never withhold information if asked directly, however. This is grounds for eviction.
Of course, this is all subjective to the private landlord in question. Some people are really paranoid and may have all kinds of extras worked into the contract to avoid liability. As always, read the lease in detail and discuss any sticking points with the landlord before signing anything.
Now, for the flip side. Here are some potential downsides that may occur when you rent from a private landlord.
Con: tentative response to maintenance requests
Repairs to private rental properties have to come out of the pocket of the owner, so often, they’ll try to take the most conservative approach to avoid paying big bills. As a result, sometimes, maintenance issues take longer to get resolved than in a big community, where there’s usually a specific staff, resources and budget in place to manage such issues.
Con: might deal with a property management company
Some private landlords rent out the property themselves but rely on private property management companies to actually deal with the tenants. This is all well and good as long as the company is capable. Otherwise, it’s extra red tape to wade through, and nobody wants that.
Con: more responsibility
Renting houses, in particular, comes with more upkeep and responsibility than the average apartment. First, there’s the fact that homes are generally larger, so there’s more space to keep clean. The landlord will expect any tenant to keep the property reasonably clean, otherwise, they can cancel the lease.
A typical home also comes with land, including a lawn and flower beds, all of which require regular maintenance. If you’re not willing to do this extra legwork make sure that your lease agreement stipulates the private landlord is responsible for lawn care. Some property managers will agree to this, but others will outright refuse.
Con: fewer amenities
Large apartment communities often come with a full slate of amenities, including multiple pools, workout facilities, 24-hour maintenance request lines and so on. For people renting from a private landlord, however, amenities look a little different. Of course, those who rent a condo or townhome generally get to enjoy the same property perks as owners in the community. However, someone who rents a single-family home is unlikely to have access to such bells and whistles.
Con: more expenses
Renting a home from an individual landlord means that there is often more space to furnish, heat and cool than the average apartment. This is especially true if it’s an older home with outdated HVAC systems. Before you sign a lease, inquire about the average monthly utility cost, so that you’re not left footing the bill for some old dinosaur.
Also, renting from a private landlord sometimes comes with higher overall rent and additional monthly fees. This is why it’s important to figure out how much rent you can afford before you sign the lease. Check out this helpful rent calculator to figure out what you can afford on your take-home pay. Pro tip: experts suggest spending no more than 30 percent of gross income on rent.
Con: less streamlined
Compared with a rent-by-owner situation, apartments managed by large property management companies have a lot of tools in place to make it easy to pay rent, request maintenance, lodge complaints and so on. So, tenants who like things automated probably prefer this to writing an old-school check every month.
Con: they hold the ownership cards
Sure, the owner can’t violate the terms of the contract while you’re leasing and kick you out without cause, but they can decide to sell the property once the term is up. This could mean yet another move, even if you’re happy where you are. Obviously, this is a pretty big downside, as it can cost a lot of money to move, plus it’s inconvenient.
Beware of rental scams
Anytime there’s money involved, scams can happen. Make sure the rent by owner home you’re interested in is totally legitimate before handing over any cash because, believe it or not, people do try to rent out properties that they have no claim to!
Here are some helpful tips to avoid rental scams:
- An in-person meeting with the landlord or property management company at the property
- Don’t fall for high-pressure tactics. Only sign a lease when you’re completely ready to do so.
- Comply with all standard requirements, like a background check, credit check, interview, etc. A good landlord wants to have a firm grasp on who will be occupying the property.
- Hold onto your money until you sign a legal contract
- Insist on a lease. This contract is in place to protect both the renter and the landlord. Without it, you have no claim to the property and they can kick you out anytime. Above all else, if your gut instinct is to walk away because of a hunch or shady behavior, then do so. There are plenty of other rentals out there.
Ready to rent from a private landlord, instead of big property management companies?
The decision of whether to rent directly from a property owner or a large apartment management company really depends on a lot of personal preferences. Whatever you do, ask all the questions and read the lease fully before you decide between rentals. It’s better to prepare too much than not enough.
A freelance writer based out of the Atlanta area, Alia has penned articles during her decade+ career for such sites as HowStuffWorks, TLC, Animal Planet, Zillow and many more. Her favorite things to write about include fitness, nutrition, travel, healthcare and general lifestyle topics. A graduate of the University of Georgia, Alia’s an avid Dawg, but she also loves reading, sewing, eating all things chocolate and playing sports with her husband, three boys and beloved border collie, Flash.
