Frequent Questions

When do I receive the rent?

Rents are paid monthly in advance to you.

How do I receive the rent?

Rents are paid directly into your bank account by bank transfer from the Tenant. Rents do not pass through us. With internet banking, you can easily check when your rent has been paid.

What language is the Tenancy Agreement in?

Tenancy Agreements are bilingual (Chinese and English), unless both parties are comfortable with one language.

How long is a typical lease for?

Apartment leases are normally for a year. For houses, many landlords prefer 2 year leases especially if the lease includes custom renovations and furniture purchases. Some landlords will accept a 2 year lease with a break option for the Tenant after the first year.

What is included in a lease?

Typically, besides property usage rights, the lease includes major appliances, management, satellite TV fees, lighting and curtains or blinds. Houses and some high-end apartments will have dishwashers and dryers. Smaller apartments will not have dryers due to space constraints and the fact that in Beijing, clothes dry within hours. Apartments are often furnished, while houses are often unfurnished or semi-furnished. Depending on the rent, furniture can often be negotiated into a lease. Family club memberships are normally included in a house lease. Utility subsidies are included at cost as are parking spaces at apartment towers.

How much is the security deposit and when is it paid?

A two month security deposit is the norm. Typically the tenant pays one months' rent on signing the Tenancy Agreement. You may ask for the full security deposit on signing if there are substantial custom renovations or if there's a significant lag time between signing the tenancy agreement and the lease commencement date.

When do I return the Security Deposit to the Tenant?

On completion of the lease, the Security Deposit should be paid within 5 days of all outstanding bills paid and any damages repaired.

What if the previous tenant has damaged my property?

We will assess the damage and advise you on the deductions necessary to cover the cost of repairs and communicate with the tenant on your behalf, explaining the reasons for the deductions.

How do you find a Tenant for my property?

Our listings are inclusive, not exclusive. We create an info-package with map, floorplan and great looking photos. We then market your property aggressively to potential tenants and other real estate agents.

How much do you charge for finding a Tenant?

We charge you 1 month's gross rent commission as a finder's fee in the event we find a suitable tenant for your Property. In the event another real estate agent finds a suitable tenant for your property, this real estate agent receives 80% of the gross rent commission.

What is a Fapiao and why do I need it?

A Fapiao is an official receipt for funds paid that includes value added tax (VAT). In many countries, the payee for goods or services issues a receipt to the payer and is responsible for declaring the VAT. In China the official receipt, a Fapiao, must be issued by the tax authorities. It is either pre-paid and printed at the tax bureau or printed by the payee on offical Fapiao paper. To comply with accounting rules, your Tenant's employer needs a Fapiao for all rent payments made. The Fapiao should state the names of the payer and payee and also that the payment is for rent. A lost Fapiao cannot be re-printed without repaying the VAT. VAT for rent payments is currently 5%.

Can you help me get Fapiaos for the rent?

As part of our service, we apply for the Fapiao from the tax bureau and deliver it to the tenant or his employer.

What are your management service fees?

If your property is leased out, we charge a service fee of 5% of the monthly rent but a minimum of RMB1,000 per month. If your property is not leased out, we charge a flat rate of RMB500 per month.

What is the Repair Fund?

The Repair Fund is a sum of money that you leave with us to cover repair and maintenance expenses that may arise at short notice. Note that the Repair fund will only be drawn on after receiving your written approval. Typically, the Repair Fund is between RMB5,000-12,000 depending on the type of property.

Can you help furnish the property?

We know what kind of decor most Tenants prefer. We'd be pleased to help you furnish the property in a style that makes it attractive to potential Tenants while keeping costs low to maximise your investment return. Of course, any furnishings would have to be approved by you prior to purchase.

Can you help me manage the regular expenses related to the property?

We help you track all monthly expenses related to the property including management fees and any lease related expenses such as monthly utility subsidies, satellite TV fees or gardening. Our Expense Summary lists all expenses, including those expenses you might pay directly to the recipient.

How do I avail of your services?

Let us assess your property. We'll then send you a draft Service Agreement outlining the terms of our services for your property.

Can I terminate your property management service agreement?

You can terminate the agreement with us at any time by giving us 7 days notice.

More questions?

Just email us at info@lihong.biz or call +86 10 8580 2389.