Owner reduces bureaucracy to take property out of the refrigerator

 

Concessions for renting a property faster range from allowing pets to unsecured contracts

The real estate rental market had to reinvent itself to turn the loss caused by the crisis in the sector into profit. According to a survey by Secovi-SP (housing union), between June 2018 and May 2019 there was a 3.04% growth in the number of rents in São Paulo. The warming, albeit in short steps, is an indication that landlords are following what experts recommend to attract new tenants: reduce bureaucracy. immobile

“Two things weigh a lot when renting. The first one is the price negotiation itself and the second thing is the guarantee for the owner. There is a mismatch between what the consumer wants and what he finds in the market”, warns Débora Seabra, economist at Grupo Zap, a rental platform.

There are numerous ways to get a property out of the refrigerator after months of being out of service, such as shorter contracts, flexibility in choosing the guarantor, replacement of a legal person responsible for the security deposit and even authorization for a pet in the rented property.

 

According to the commercial director of real estate Lello, Roseli Hernandes, about two years ago, pets gained the family member certificate in the market and became a determining factor when choosing a property for a tenant.

“This subject became frequent. Before that, our website didn't even inform if the property accepted pets or not. Even condominiums have updated and abandoned these restrictions. There has been a very big change in this direction. Now, the owners are calmly accepting.”

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For teacher Rosilda Oliveira, who for eight years has been renting three apartments that she built on top of her house, in Lapa, to supplement the family's income, pets are not a problem. In the name of flexibility in times of crisis, Rosilda also bet on offering contracts shorter than the traditional 30 months in the São Paulo market.

“Some people are afraid of not adapting to housing because it is on top of my house. That's why I accept six-month or one-year contracts”, she says, who makes a direct contract with the tenant, without the intermediation of real estate agents.

A shorter contract was what university professor Juliana Kramer Soares asked for when she rented an apartment in Chácara Inglesa, as she plans to change from tenant to owner.

According to Juliana, who lives with her daughter, student Gabriela Soares, the real estate agency did not budge and the contract had to be for 30 months. “But I asked for a clause for exemption from fines after one year of leasing”, says Juliana. Another facility she got was the replacement of the guarantor for a security deposit . In her case, R$5,100, equivalent to three months' rent.

Juliana's case is an example of how the owners must make more flexible in current times in the name of the contract, points out the marketing manager Brazil at Imovelweb, Angélica Quintela. “The job market fluctuates a lot and people move more: from city to neighborhood, because of mobility. Offering possibilities (of a minor contract or exemption from fine) to the lessee ends up being a differential.”

Guarantor gives way to other guarantees

A preferred type of guarantee among owners, the guarantor has already been abolished in the contracts of Uliving, a company focused on renting student residences. “Our big difference in the lease is that we don't require a guarantor. Contracts are signed electronically. We created a system focused on our target audience – people who leave home to study. This requires ease and speed”, explains Juliano Antunes, CEO of Uliving.

For the contract, only the proof of income of the person who will bear the costs and the proof of enrollment of the student are required. If there is a case of default, Antunes says he has other strategies. "If there is a delay in the payment of the monthly fee, the financial responsible will have to pay interest and, if the amount is not paid, we can file an eviction action - which without guarantor is much simpler to happen", he says, since the guarantor is the person who is legally responsible for the property if the tenant is late in paying.

Professor Rosilda Oliveira also stopped demanding a guarantor to make her contracts more flexible. “The person only makes me a security deposit of two rentals and that's what's working for me,” she says.

According to a survey by Lello in March, the guarantor corresponds to 52% of the owners' preference with regard to the guarantee. Next, with 26%, is the security deposit, a more practical modality. It is enough for the tenant to deposit an amount to the owner (usually equivalent to two or three months' rent), which will serve as a precaution for the owner to pay for any delays or damage to the residence. At the end of the contract, the amount is refunded if no repairs need to be made.

Third on the list of guarantees preferred by landlords, with 17%, is surety bond. The amount (usually equivalent to one month's rent) is deposited with an insurance company, which will bear the expenses and lawsuits in case of default or misuse of the property. Due to this administration, the value is lost to the tenant: it does not return to him at the end of the contract.

Currently, according to Lello, only 3% of owners opt for the guarantee exemption and another 2% have other ways to ensure their guarantee – such as via credit card, an uncommon modality, but which is still available in some real estate agencies in the market.