Your rights and obligations as a luxury apartment tenant

date
01/02/2024
author
Unique Estates

Before embarking on your search for a rental property to settle in, it is important to familiarise yourself in advance with all the rights and obligations you need to consider in your role as a tenant. Read more about them here!

The rights of a tenant of a luxury home

Undoubtedly, one of the most important factors in choosing an apartment to rent are the terms written into the contract and the relationship with the homeowner. It is important that all the details such as the period of the lease, the amount of monthly rent and the way it is to be paid, as well as the rights and obligations of both parties are detailed in a timely manner.
Additional clauses would also be useful to clarify who is obliged to cover the cost of repairs and what the owner's requirements are for keeping pets, for example.

It is very important that as a prospective tenant you read the lease in detail and read the terms carefully so that you do not find yourself at a disadvantage later on. In addition, a focused reading makes it possible to identify contentious clauses early on and discuss any changes to their content in order to reach a mutual agreement.

It is advisable to specify in the lease agreement the term of its validity, the rental price, the amount of the deposit. In addition, it is desirable to include the rights and obligations of both parties to the transaction.


Right of use


Your basic rights as a tenant include the right to reside in the dwelling in peace and to use its appurtenances, as well as the right to demand repairs from the landlord where significant damage is involved. Tenancies are negotiated under the Duties and Contracts Act (DCA). It is important to be aware that this legislation allows you a great deal of freedom in the negotiation between the two parties, in terms of the ability to be flexible in the terms of the contract. However, there is a requirement that the terms do not contravene good morals and morality and do not violate the law.
As already mentioned, the right to demand the necessary repairs from the landlord and the allocation of the costs of making them are another important topic that it is important to familiarise yourself with beforehand. Under the Duties and Contracts Act, it is the landlord who has the responsibility to bear the cost of carrying out major repairs, while smaller repairs are the responsibility of the tenant. These usually consist of repainting, replacing outdated or broken locks, furniture fittings and similar cosmetic interventions. When it comes to serious damages that concern the general structure of a building - roof repairs, replacement of plumbing fixtures - the cost of the repairs should be borne by the landlord.

It is also important to know that if any problems are found at the time of renting the home, it is advisable to note them in the acceptance report. This will save you the headache of being held liable later for damage and depreciation that is not your fault. In addition, you should bear in mind that decisions on alterations to the interior of the home must be submitted to your landlord in advance for their consent.

Right to notice


To avoid any unnecessary hassle around ending the tenancy, it is a good idea to draw up a notice to quit form. The landlord can prepare such a notice to quit form in advance. Required elements of the notice to quit are the details of both parties to the tenancy, the date on which the notice is given, the date on which it will take effect and the signature of the person giving the notice.

The right to freedom from harassment, interference with your lifestyle and unlawful eviction


The right to freedom from harassment and unlawful eviction relates to activities of a different nature that would interfere with your ability to rely on your rights as a tenant. Harassment by your landlord could take the form of entering the property without your knowledge or permission (except in cases that require urgent intervention by your landlord), cutting off the electricity to the property, using verbal and physical abuse against you.
Unlawful eviction consists of your landlord trying to force you to leave the property without following the legal procedure. It is good to know that harassment and unlawful eviction are defined as criminal offences, and those who commit them are liable to punishment.
Also, the landlord has a duty to ensure your quiet enjoyment of the property and to protect you from third party interference and has a duty to protect you if, for example, neighbours cause you a nuisance.

Right to due process


In the event that any of your rights are violated in any way by the landlord, and in the event that your landlord does not comply with the terms of the contract, you have the right to hold them accountable. If you cannot clarify the situation and find a solution to the problem through dialogue, you have the right to seek your rights in court. For this purpose, several conditions are necessary - in addition to hiring a lawyer, it is crucial to have a valid rental contract signed by both parties and presenting clearly defined clauses. Although there is no explicit requirement that the agreement be notarised, you should bear in mind that this is a good practice through which your rights can be further secured.

Right to a receipt when rent is paid


It's important to know that when you pay your monthly rent, your landlord is required to give you a receipt. This document contains information about the day, the exact amount and the reason for receiving the amount, in this case it is rent paid. The receipt itself is a must for any landlord, no matter what type of property is being rented - a home, lot, loft, shop, etc.

Also, if you have been a faithful tenant with your landlord and have met your obligations promptly, as well as being good stewards of the property, then your deposit should be fully refunded. If you are refused, you have every right to seek professional assistance from a solicitor to claim the deposit through the courts. However, for this purpose, an acceptance report must be attached to your tenancy agreement.

Basic duties of a luxury apartment tenant

Payment of rent on time and regular payment of property expenses


Among the most important obligations of a tenant are the payment of the agreed rent amount within the specific term according to the contract, as well as the regular repayment of utility obligations.

The purpose of the property shall not change


The purpose of the property shall not be changed and neither shall the use of the premises for the purposes intended, this being by express agreement in the contract. For example, if you want to rent an apartment in an apartment building with the idea of converting it into a shop or office space, you need to have prior consent from the owner. In addition, it is legally necessary to change the use of the property. Very often, landlords are reluctant to undertake this type of change as the procedure requires a lot of time, effort and financial resources. And although conversion does not involve construction work, the law treats any change of use of a property (dwelling, office, shop) as a separate new construction.

Do not damage the integrity of the room and the belongings therein or pay for the repair


The tenant must keep the property in the condition provided by the landlord and maintain it. Thus, if any damage is done to the property or to the existing belongings, he is obliged to repair the damage or replace what is broken. In the event of damage which is not the result of your being a tenant, but is due to the natural depreciation of furniture and appliances, you are obliged to notify your landlord promptly.
In addition, the tenant may not sublet the unit to any third party except with the written consent of the landlord. In this situation, however, the tenant's obligation to pay the rent regularly remains in effect. After the expiry of the lease, the tenant shall be obliged to deliver the dwelling in the condition in which he rented it. Otherwise, you owe compensation to the landlord, unless you can prove that the damage is not the result of you being in the property.

Therefore, check carefully for any damage, defects and wastage that may have occurred during your stay, both in the condition of the appliances and furnishings and in the overall appearance of the property.
In many cases, the tenancy is also bound by a handover report, which may be a detailed list of the property's furnishings and equipment, stating their condition.
As already mentioned, it is also the landlord's right to require a deposit. The deposit brings additional security to the landlord that in the event of damage caused by the tenant, they will have money to use to repair the damage. In the mass case, the value corresponds to the amount of one month's rent, but the possibility of individual negotiation is not excluded.

Handover of the luxury property in the same condition on release


When you leave the luxury home you have been staying in, you must make sure that all belongings and furniture are in place when you move in. This could make it difficult for you, especially if you have been occupying the home for a long time, as usually in a long term tenancy, most tenants change the placement of some of the furniture to ensure comfort and convenience in their daily needs. However, do your best to bring the property up to the condition in which it was handed over to you for use by your landlord. This will save your landlord the unpleasant impression of your attitude, as well as the commitment of putting time and effort into activities that are really entirely your responsibility. Last but not least, you will be able to preserve good manners and honesty in the relationship established between you.

Right of termination


The termination of the tenancy agreement depends on the term for which it was concluded. If the agreement is concluded for a specific term, it is terminated at the end of the specified term. If both parties to the agreement wish to continue their relationship, it may be renewed after its expiry. However, the terms of the agreement can be changed. If the tenant continues to occupy the property after the expiry of the agreement, with the landlord's express consent, the agreement is deemed to have been extended indefinitely.

Early termination of the tenancy agreement is possible by either party, either at will or for breach of any of the clauses described therein. As we have already said, termination may be effected unilaterally, by written notice, or by mutual agreement, by concluding a termination agreement.

From your position as a tenant, you have the right to end the tenancy, but to do so it is essential that you comply with the requirement to give notice to vacate the property. However, if circumstances require you to leave immediately, you must be prepared to pay compensation to the landlord, which is usually one month's rent. Also, as a tenant, you are entitled to benefit from compensation to claim from your landlord. It is an available option if the landlord decides to terminate your tenancy before the end date specified in the agreement.

Do we need a broker when buying and selling a property?

Many of you probably ask this question when it comes time to change homes or purchase a new property. Why do I need an agency when there are websites show direct information from an owner?

Generally speaking, a real estate agent will save you time and effort, protect you from incorrect owners, and guide you seamlessly through the process.

How is a property sold?

When selling a property, it is important to consult a professional who can provide you with a housing market research and help you determine the market price of the property. It is also recommended to have a realistic description of the property to attract the attention of buyers, helping them to get oriented in its advantages.

 

How is a property tax assessment made?

The issuance of a tax assessment requires the submission of several types of documents, which you can request through a specialized portal for the provision of electronic services, with an application at the counter in an administrative service center, by e-mail or by post, electronically through the secure electronic delivery system.

 

How is the market price of a property determined?

The market price is determined by real estate professionals using the comparative market analysis method. The purpose of the analysis is to determine the correct price range in which to position a property when it is advertised for sale. 

 

How is profit tax calculated when selling a property?

The profit from the sale of a property is not taxed when the home has been your property for 3 years. In all other cases, the difference between the sale price and the purchase price is taken into account when calculating taxes on the sale of a property. The income is formed on a tax base and this tax base is reduced by 10% of the legally determined costs.

 

How much is my property worth?

The surest way to find out how much your property is worth is to consult with a professional in this field. We at Unique Estates can help you by providing you with a reliable valuation that is based on in-depth market research by professionals as well as our own data acquired over the years.

 

How are the undivided shares of a property calculated?

For each independent property, the undivided shares are calculated using the following formula:

Undivided Shares (%) = (Built-Up Area/Gross Floor Area) *100

Where:

Undivided Shares (%) is the size of the common areas adjacent to the property.

Built-Up Area (BA) is the built-up area of a property.

Gross Floor Area (GFA) is the total floor area contained within the entire building.

 

How is a property boundary determined?

A property boundary is determined by filing a petition to fix the boundary between properties. In order to determine the exact boundaries of a landed property, it is necessary to carry out the so-called tracing. This means to mark various points, lines, planes or surfaces on the terrain.

 

How is rental income declared?

There are two options for declaring rental income. In the first case, if the tenant is an uninsured natural person, it is the responsibility of the landlord to declare and pay the applicable rental income taxes. In the second case, if the tenant is a self-insured person (or enterprise), the tax amount is determined and the tax is withheld from him/ her at the time of its payment.

 

How is a rental agreement prepared?

If you are considering renting out a property, your cooperation with a professional lawyer is very important. He will help you to draft all mandatory clauses of the agreement in accordance with the Obligations and Contracts Act (OCA, Articles 228-239) and the Landlord and Tenant Relationship Act.

 

How is a rental agreement concluded?

According to the Bulgarian legislation, a rental agreement can be concluded both in written and oral form. In both cases, the agreement is considered valid and has legal force. However, the choice of an oral agreement hides significant risks, mainly due to the difficulties in proving the agreed terms and conditions.

 

How to terminate a tenancy agreement?

When you wish to terminate your tenancy agreement, you must comply with the period specified in the agreement and give prior written notice. If you wish to leave earlier than this period, you must pay a penalty to the landlord.

 

What is a property management service?

The property management service releases the landlords from their responsibilities throughout the rental process and from the subsequent tasks of collecting the rent and monitoring the property.

 

How to sell a luxury property with Unique Estates?

Contact us and our team of experts will prepare a special Comparative Market Analysis to determine the correct market price and potential customers for your property. Trust our professional real estate consultants who will give you the right guidance on how to successfully sell your property.

 

How to make an expert appraisal of a property?

The first step in making an expert appraisal of a property is to contact a certified appraiser registered in the Chamber of Independent Appraisers in Bulgaria. For the process, you will need an ownership document, an up-to-date sketch or cadastral map of the property and other documents depending on the type of the property.

 

When market analyses and research are conducted?

Market analyses and research are conducted before making important business decisions, launching new products on the market, making investments, or expanding the business into new markets.

 

What does a market analysis involve?

The market analysis includes a complex analysis at several levels: general market analysis, industry market analysis, market analysis of an individual product. These assessments provide valuable data for informed decision making and strategic planning.

 

For whom can the real estate market analysis be useful?

The real estate market analysis can be useful for investors, home buyers, agents, financial institutions, property managers, end users, etc. It helps in making informed decisions and understanding market trends and property prices.

 

Where to post an ad for the sale of a luxury property?

Before selling your property, it is important to choose a consultant who will give you the right guidance on how to most successfully and smoothly carry out the transaction. Trust our professionals at Unique Estates, who offer complex services in the field of real estate in two directions - Premium and Standard.

 

Where to obtain a property sketch?

The first step in obtaining a property sketch is to check with the Geodesy, Cartography and Cadastre Agency (GCCA) whether the property falls within the territory with an active cadastral map. A check of the sketch can be carried out in any regional city in Bulgaria at the Geodesy, Cartography and Cadastre Office (GCCO).

 

How to rent out an apartment?

Renting out an apartment can be made both with the help of a real estate agency and independently.  Choosing to work with an agency provides a number of advantages that can significantly accelerate the conclusion of a rental agreement.

 

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Your rights and obligations as a luxury apartment tenant