Fair rental practice – the rules of the rental game
Rental contracts in particular emphasise the trust that the parties have in each other. The landlord rents out an apartment as a home for the tenant. The long-term nature of the contractual relationship, with the possibility of unforeseen changes, underlines the obligation of loyalty and transparency between the parties to the contract.
As a rule, the tenant and the landlord can agree on the terms of the tenancy. However, legislation imposes certain rights and obligations on both the landlord and the tenant which cannot be agreed otherwise.
The purpose of fair rental practice is to contribute to the creation, ongoing management and proper termination of a problem-free and workable tenancy. The organisations that have drawn up the principles of fair rental practice recommend that the principles should be followed in residential tenancies, particularly where there is no agreement between the parties on any of the situations that may arise. However, if the parties have defined certain policies for the tenancy, they will be followed in accordance with the agreement.
Renting residential apartments must be profitable for the landlord. The landlord’s objective is to cover the costs of renting and to obtain a return on the capital invested. In return for the rent paid, the tenant should receive a dwelling equivalent to the agreed one and a secure tenancy. The difference between renting a residential apartment and other investment activities is that the investment is the tenant’s home.
Fair rental practice also includes respecting your neighbours and following the rules of order and general rules of behaviour. It is also fair rental practice for both parties to the tenancy to contribute to the amenity of the housing environment. The well-being of the housing community is based on the interest of the tenants in the community and their consideration for each other. In a comfortable living environment, residents feel a sense of responsibility when using common areas and courtyards.
A well-functioning housing market needs sufficient housing and a variety of parties. The adequacy of rented housing is important for the development of society and employment.