Tips to rent a property in Colombia

For a foreign official to try to lease a property in our country can become a real headache but has the advice to avoid problems and waste of time. Here are some recommendations to keep in mind during the process.

It is recommended to read carefully the lease, which must fully comply with the provisions of the Civil Code and law 820 of July 10, 2003. The clauses establishes from the times and dates for the payment of the lease fee, steps to be taken in the event of default, the procedure to be followed in the case of locative repairs, the limits for sublease, the lease assignment, the time in advance to notify the lessor of the non-renewal of the contract, obligations of the two parties and clauses by which the contract can be terminated, including the diplomatic clause or early termination of contract.

Inventory. Preparing a very detailed inventory to determine the habitability conditions of the property is fundamental, because, over time, once the site has been inhabited, there are problems of humidity, of plumes, of floors, among others, that must be solved by the lessor or the lessee, if it has the proper authorization, to make them and deduct from the lease fee.

We must be aware that, when delivering the property, it must be left in the same conditions in which it was received. Any misfed door, dirty wall or broken element will have to be repaired if they were not in the initial inventory. When installing wall-mounted TVs and pictures, these faults should be rectified and possibly painted on the entire wall.

Elaboration of the contract. Most real estate companies often resort to insurance companies to measure the ability of the future tenant to pay.

The tenant must prove his income through current labor certifications, bank statements, documents of the company in which he works, if he serves as guarantor in the lease, such as a certificate of chamber of commerce, representative identity document legal, and financial statements.

When an expatriate wishes to take a property and does not have a guarantor, the insurance offers the option of constituting a CDT in the name of the lessee, with an endorsement to the insurer, for the term of the contract. The amount will depend on the study of the documents that are made, and is minimum four leasing fees.

In this process, it will also be necessary to prepare documents such as letter of endorsement issued by the insurer, bank documents, certification that the title is endorsed as collateral in favor of the insurer, etc.

Once the lease has expired, and when the property is to be returned, the lessee must present a peace of mind signed by the lessor where it is recorded that he is up to date on all payments and obligations. Likewise, a letter must be presented to the insurer where the reinstatement of the title is requested.

Likewise, the lessor must provide for the lease, the certificate of tradition and updated freedom of the property, peace and security of the administration fees of the property, among others.

Deposits. Colombian law prohibits the requirement of deposits to guarantee compliance with the tenant’s obligations.

SRS Colombia has specialized personnel in real estate law that guides and accompanies foreign officials before, during and after the complex process of leasing a property in Bogota and the main cities of the country.