Renting a property in Guatemala is a straightforward process. After finding a place that suits your needs and budget, the next step is formalizing the lease. You will need to submit some documents that may vary depending on the landlord and the type of property. Below, we present the most common requirements to successfully complete this process without any hiccups.
Identification
First and foremost, both the landlord and the tenant must present their identification documents. These documents must be valid. It can be the Personal Identification Document (DIP) or a passport in the case of foreigners. Additionally, the prospective tenant needs to fill out a rental application form.
Security Deposit
The landlord may require a security deposit before handing over the property. This deposit is typically equivalent to one month’s rent. It serves as protection for both the owner and the tenant. The deposit is meant to cover any damages or losses that may occur during the lease period. If there are no damages, the security deposit is returned to the tenant at the end of the lease.
Personal and Employment References
It is common for the landlord to request personal and employment references. These references are used to verify the identity of the prospective tenant and their employment history. Property owners want to ensure the reliability of the tenant. They want to ensure that they have a good track record of paying rent and exhibiting decent behavior in general. These references also serve to assess the tenant’s financial capacity to regularly meet rent payments.
Lease Agreement
It is crucial that both parties sign a lease agreement. This document outlines the rental conditions, the rights and responsibilities of each party, the rental amount, the duration of the lease, payment for utilities, and other important clauses as agreed upon by both parties. A lease agreement is vital because it provides legal protection to both parties once signed. It offers clarity and helps prevent misunderstandings. In case of disputes, the lease agreement serves as the primary tool for resolution.
Guarantor
The property owner may request a third party to act as a guarantor for the tenant in case of payment defaults. This guarantor assumes the responsibility of ensuring the fulfillment of the contract and must provide all required documentation. In Guatemala, to serve as a guarantor, one must be of legal age, have financial capability to cover payments in case of default, possess a good credit reputation, and have no criminal record. Some financial institutions may have additional requirements.
Verification of Documents
For the safety and peace of mind of both the property owner and the tenant, it is essential that both parties verify all the documents presented. To this end, seeking guidance and assistance from experts in the real estate field is the best option. This streamlines the process and provides you with greater assurances, as specialists will ensure that you are supported at every step.
