Why is it important to charge a fair rental rate?

If rent is too high, you will have a hard time attracting potential tenants. A high vacancy rate will have a negative effect on your profits. As such, landlords must ensure that their rent is fair to attract potential tenants to their properties.

Why is it a good idea to sell your house during the holidays?

Selling your home during the holidays can be profitable because there are fewer homes for sale and there are more serious buyers. You can also tap into the holiday nostalgia. It's also beneficial for homebuyers because they can get a better sense of the neighborhood and take advantage of tax breaks.

What the types of tenancy termination notices?

It varies from state to state, but there are basically three types of tenancy termination notices: Pay Rent or Quit, Cure or Quit, and Unconditional Quit.

How to calculate ROI for rental properties?

To calculate for ROI, divide the annual rental income with the total cost of the property. Multiply that number by 100.

What are five questions you would ask the landlord about your preferred property?

Five of the most important questions to ask are: 'How much is the rent and what is included?', 'How do I pay rent and when is it due?', 'What happens if I miss the rent due date?', 'Is the security deposit refundable?', and 'Is renters insurance necessary?'.

What should I ask my landlord?

Part of sensible house hunting, though, is knowing what to ask when renting an apartment or house. You can’t blindly enter a deal without knowing rent details, lease terms, and any applicable policies. Doing that will only invite disputes down the road. Ask about rent details (how much, when it is due, what is included, etc.) as well as security deposits and renters insurance. Find out how long the lease duration is, how much notice is needed before moving out and accessing the property (for landlords), and how emergency maintenance is handled. Ask about various policies, including pet policies, guest policies, subletting policies, renewal policies, and early termination clauses, too.

What happens if a landlord violates the lease agreement?

Landlords are not exempt from committing rental lease violations. Tenants have certain rights, and infringing on these rights can spell legal trouble for landlords. This can range from reporting code violations to filing a lawsuit. In some cases, tenants can withhold rental payments or even terminate the agreement as a result.

What are the most common rental lease violations?

The most common rental lease violations are having long-term guests, having unauthorized pets, not paying rent, property damages, and using a residential property for business.

Can you sue your landlord for water damage?

If your landlord refuses to provide you with these necessities, the action you can take depends on where you reside. You, as a tenant, have the right to do one or more of the following: withhold rent, take legal action, break your lease without consequences, or pay for the repairs and deduct it from the cost of your rent.

Are You Charging A Fair Rental Rate?

Posted on 2021/01/052022/01/20 by admin

When buying real estate, it’s important to receive a good return on your property investment. If your rental rate is too high, you may have a hard time attracting potential tenants. If your rental rate is too low, you won’t be able to maximize rental income to its full extent. For a good balance between occupancy rates and profits, make sure that you are charging a fair rental rate for your property.

What Is a Fair Rental Rate?

Fair rental rate, also known as fair market rate, is the gross rent of a property. This includes the cost of rent plus essential utilities such as gas, water, and electricity. Gross rent does not include non-essentials such as cable or satellite, internet, and telephone utilities.

Contract rent refers to the rental payment agreed upon in the lease. It can be based on gross rent, shelter rent — which is exclusive of all utilities — or somewhere in between.

Importance of Charging the Right Rental Price

If landlords had their choice, they would charge the highest possible rent for their property in order to maximize profits. However, if rent is too high, you will have a hard time attracting potential tenants.

A high vacancy rate will have a significant effect on your profits. As such, landlords must ensure that their rent is fair to attract potential tenants to their properties. The right rental price will depend on several factors, including:

Property Type: Is your rental property a single-family home, a duplex, or an apartment? A single-family home will have a higher rental price than an apartment.
Property Size: Is the rental unit a studio, one-bedroom, two-bedroom, three-bedroom, etc.? The larger the rental property, the higher rent you can charge.
Utilities: Your rental rate may be priced higher if utilities (essential and/or non-essential) are included.
Location: A rental property can charge more rent if it is in a desirable neighborhood. Other factors that can increase rent include a low crime rate, an excellent school district, and access to public transportation.
Condition: Is your rental property newly renovated? The better the condition, the higher the rent.
Amenities: Good views, outdoor space, centralized air-conditioning, pools, and gyms are just some of the amenities that can fetch a higher rental rate.
Furnished: Does your rental property come with furniture and/or appliances? If so, a higher rental rate may be justified.
Extra Features: Are there extra features such as garage parking or storage facilities?
Pet Policy: Do you allow pets? Do you charge a pet fee?

Another important consideration for determining a fair rental rate is the demand. Even if you have a fair market rental value but the demand isn’t there, you might be forced to lower your rental price to attract potential tenants. Thus, landlords must monitor real estate trends in their area.

How to Calculate the Fair Rental Rate for Your Property?

There are several ways to calculate the right market rent for your property. Landlords can base it on fair rental values established by the federal government, refer to similar rental properties in your area, or utilize online resources. To determine which is the best method for you, here are the ways to calculate a fair rental rate:

1. Use Fair Market Rents Set By HUD

Each year, the U.S. Department of Housing and Urban Development (HUD) comes up with fair market rents based on census data, renter surveys, and other relevant data regarding rental rates throughout the country.

The HUD has an online portal where you can view fair market rents per state, county, and metropolitan area.

The HUD uses these fair rental values for their housing programs, including the Housing Choice Voucher Program stated in Section 8 of the Housing Act of 1937. In this program, the federal government provides vouchers to help individuals afford to rent a home.

To qualify, you must meet certain requirements related to family status, income level, citizenship, and rental history. If you decide to rent to a Section 8 tenant, the HUD will be the one to pay you the fair market rent each month.

While landlords are not required to follow fair market rents, you can use these values to make sure that you are charging a fair rental rate for your property. It can also be a good starting point if you are unsure about how much to charge.

2. Examine Other Rental Properties in Your Neighborhood

Landlords must also ensure that their rental property is competitively priced. It can be very helpful to examine other rental properties in your neighborhood. Find rental properties that offer the same property type or size.

If the rental property is decently occupied, it means that they are charging a fair rental rate or something close to it. However, keep in mind that a high tenancy rate may also indicate a rental price that is too low. Meanwhile, if the rental property has a lot of vacancies, their rental price may be too high.

When inspecting other rental properties, make sure to look at the condition of the property, as well as amenities, views, furnishings, and accessibility features offered. If you think that your rental property is in better condition or has more amenities to offer tenants, you can justify charging a higher rental rate.

3. Browse Online Rental Websites

If you do not have time to physically visit other rental properties, you can do it online instead. Browse rental websites like Zillow, Realtor.com, or Apartments.com to find similar rental properties in your area. You will be able to see the average or suggested rental rates.

You can also check out recently rented properties or in-demand properties as these are the ones that likely charge fair rental rates. If your rental property has similar features and amenities, you can feel confident in charging the same amount for rent.

4. Use Fair Rental Value Calculators

There are also online resources that can help you compute a fair rental rate for your property. Some websites offer free services such as Zillow’s Zestimate feature while other websites like Rentometer.com or RentRage.com offer paid services.

If you are looking for a convenient way to determine a fair rental rate, you may want to consider signing up for these services. These websites use industry data to determine the rental rates so you can trust the results that they provide.

5. Consult a Property Management Company

If you do not have a property management company yet, consider the benefits they provide.

A property manager knows the real estate market very well and has experience setting rental rates for many other properties. Thus, they will be able to easily determine the fair market rent for your property.

Not only that but a property management company also assumes most of the responsibilities of a landlord. If you do not want to deal with essential but cumbersome tasks like collecting rent, marketing your property, screening tenants, and maintaining the property, it might be wise to hire a property manager to take care of your rental units.

Maximize Profits By Charging a Fair Rental Rate

Determining rental rates sounds easy but there is a lot of work involved. You need to study the real estate market, examine similar rental properties, and consult fair market rents in your area.

If the demand is high, you might be able to charge a higher rental rate for your property. On the other hand, if fair market rent is higher than current market rates, it might be wiser to find Section 8 tenants.

Even though this process may require a lot of time and effort, know that it is well worth it. By charging a fair rental rate, you’ll be able to maximize the profits of your investment property.

If you need further help determining a fair rental rate, make sure to visit our online directory of property management companies. You can easily search by city, state, or zip code to find the best property management company for your rental property.

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Is Renting Or Selling Your Home During The Holidays A Good Idea?

Posted on 2020/12/09 by admin

Everyone wants to have a place to call home for the holidays. For this reason, is renting or selling your home during the holidays a good idea? Let’s learn more about how the holiday season can affect the real estate market.

5 Great Reasons for Selling Your Home During the Holidays

When is the best time of year to sell a house? Spring to early summer is the time when most people put their homes up for sale. The first two weeks of May also tend to be the most profitable when selling a house. However, that doesn’t mean that selling your home during the holidays can’t be profitable as well. Here are some good reasons to consider.

1. Fewer Homes for Sale

There are fewer homes for sale during the holiday season. As such, there is less competition in the market. You can command your full asking price — or very close to it — as homebuyers do not have very many options during this time.

2. Attract More Serious Buyers

There are more open houses during the prime real estate season compared to the holidays.

This encourages homebuyers to visit as many properties as they can — even those that are outside of their budget.

In the wintertime, though, not many people will be willing to withstand cold weather to view houses that they cannot really afford. Thus, you’re more likely to entertain serious buyers when selling during the holidays.

3. Tap into Holiday Nostalgia

Many people feel nostalgic during the holidays. A home decked out in Christmas lights with the fireplace creating a warm and cozy vibe can be enough of an emotional trigger for some homebuyers.

You can stage your house in a way that taps into the holiday nostalgia. Those who are buying a house can feel good when they look at your property.

4. Get a Better Sense of the Neighborhood

Seeing how neighbors celebrate the holidays can provide homebuyers with a better sense of your neighborhood. Most people will prefer to buy a property that’s surrounded by friendly and cheerful neighbors rather than a property on a bare and lifeless street. Sense of community is a major factor for many homebuyers.

5. Take Advantage of Tax Breaks

You have a good chance of selling your house during the holidays because of the benefits for homebuyers. They can take advantage of tax breaks if the sale closes before December 31. Interest rates also tend to be lower from December to January so homebuyers may be able to get lower mortgage payments.

How to Sell Your Home During the Holidays

Here are Christmas real estate marketing ideas that can increase the chances of selling your home during the holidays:

1. Decorate for the Holidays

Holiday decorations can help boost the curb appeal of your property. You can use twinkling lights on your freshly cut trees, hang ornaments on newly painted walls, and place outdoor decorations on your perfectly manicured lawn. Then, inside, create a warm and cozy interior that will make potential homebuyers feel at home during showings.

2. Enlist the Services of a Capable Real Estate Agent

To sell a house during the holiday season, you need to work with a real estate agent that is willing to work from Thanksgiving to New Year’s. Working during the holidays is not ideal but if your real estate agent is capable, it’s worth paying a slightly higher rate. At least with your real estate agent working hard, you’ll be able to enjoy stress-free holidays with your family.

3. Create Online Listings

The Internet has made it easier to sell homes even during the holidays. Since most people are busy with holiday preparations, the best way to put eyes on your property is through online listings. This makes it more convenient for those who are looking to buy a house. They won’t have to deal with traffic, bad weather, and other hassles just to look at your property. Just make sure to include high-quality pictures, detailed information about your property, and even a walkthrough video — if possible.

4. Make Price Adjustments

If the real estate market is tough, consider making adjustments that will make your property more attractive to homebuyers.

You can make small adjustments that will allow you to lower the asking price. It’s possible to slash prices but still guarantee profits when selling your house.

5. Eliminate Barriers to Home Showings

Make it easier for homebuyers to view your home during the holidays. Ensure that your driveways, walkways, and patios are clean and hazard-free. If you live in a place where there is snow, make sure to remove ice and snow. Inside, serve hot chocolate and Christmas treats to relieve the stress that homebuyers may have experienced on the way to your property. These are small touches that can play a large role in selling your house during the holidays.

A Case for Renting Your Home This Holiday Season

If selling your home during the holidays isn’t possible, you can consider renting it instead. The same benefits apply such as less competition and more serious tenants. The New Year is also a time for many changes. People who are moving to new jobs or pursuing new opportunities will be looking for great places to rent during the holiday season.

Renting your vacation or secondary home can also be very profitable during the holidays. There are a lot of people who head to states like Florida to escape the colder climates. Thus, there is a high demand for rental homes during the holiday season.

The Holiday Season: Is Now a Good Time to Sell a House?

While most people will wait for May to sell their house, you may want to consider selling your house during the holidays. As you can see, there are many benefits in doing so—such as less competition and more motivated buyers. You can also take advantage of holiday nostalgia in making your house more attractive and appealing to homebuyers. Nevertheless, make sure to consult real estate Christmas trends to see if now is a good time to sell your house.

If you need advice for selling your home during the holidays, feel free to browse our online directory for the property management companies in your local area.

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When Is It Right To Evict A Tenant?

Posted on 2020/09/142022/01/26 by admin

Tenant eviction is a normal part of managing a rental property. But, as a landlord, you need to know when you can legally evict a tenant. This way, you can complete the process in a seamless and efficient manner without breaking any laws.

How to Evict a Tenant the Right Way

Eviction is not a one-step process that takes effect as soon as you decide to push a tenant out. Although an eviction lawsuit is one of the quickest civil cases anyone can go through — typically taking place over the span of just a few weeks — it is not something you can start without the right reasons. There are many moving parts involved, and you need to be able to terminate the tenancy first.

Check Your State Laws

Tenancy termination does not just happen in a blink of an eye. As a landlord, you must give your tenant written notice of termination.

The notice period is not fixed and usually depends on state statutes. Not all states have the same laws about termination notice periods, so you must check your state laws to see what applies to you.

You also need to abide by the rental or lease agreement you and your tenant signed. Most lease agreements dictate how long in advance landlords must give tenants notice of termination, provided they do not conflict with state laws.

Following termination, most tenants either just pack up and leave as told or settle the reason for termination. However, some stubborn or bold tenants might refuse to leave or settle the issue. When that happens, you can then file a lawsuit to evict the tenant. This is called an unlawful detainer lawsuit, otherwise known as UD.

The Three Types of Termination Notices

It is important to stress that termination laws differ from state to state. Each state has its own set of protocols when it comes to writing and serving termination notices as well as eviction papers. Therefore, if you intend to send a termination notice to your tenant, you must check your state and local regulations to avoid legal trouble.

Additionally, termination notices can vary depending on the situation. That said, there are three basic types of tenancy termination notices you must know about. These notices apply only to situations wherein a tenant misbehaves, giving landlords just cause to terminate and evict.

Though the terms may not be the same across all the states, here are the three types of termination notices:

1. Pay Rent or Quit

The most common reason landlords terminate tenancies is due to unpaid rent. Although tenant screenings can give you a general idea of a potential tenant’s behavior, bad tenants sometimes slip through the cracks.

When a tenant has missed paying rent, you can send them a Pay Rent or Quit Notice. This gives tenants an ultimatum to either settle their overdue rent or move out. In most states, such as California, the time given to tenants to clear their debt ranges from 3 to 5 days.

It is worth noting that not all states require landlords to allow tenants time to pay their rent. As such, if you would rather terminate tenancy than giving your tenant the chance to settle their overdue rent, you can use the Unconditional Quit Notice (explained below) instead.

2. Cure or Quit

Lease agreements exist to maintain order and express which responsibilities both tenants and landlords must fulfill. Terms usually include pet policies, noise policies, and the like. When a tenant violates a term in your lease agreement, you can send them a Cure or Quit Notice.

Just like the Pay Rent or Quit Notice, the Cure or Quit Notice gives tenants a chance to right their wrong within a set amount of time. If your tenant refuses or fails to remedy the violation, they must either move out or face eviction.

Some states are friendlier to tenants and have laws requiring landlords to give tenants an opportunity to correct their violations. In states where such laws do not exist, landlords have the option to terminate tenancy unconditionally.

3. Unconditional Quit

The Unconditional Quit Notice is the most severe type of termination notice. It does not give tenants a chance to settle their overdue rent or fix a lease violation. A majority of states, though, only allow this type of notice provided the tenant has committed one of the following:

Missed the rent deadline more than once
Violated a significant term or clause in the lease agreement repeatedly
Caused serious damage to the property
Taken part in or performed illicit acts such as dealing drugs

Evicting a Tenant Without Cause

Typically, landlords have no right to terminate the tenancy without just cause, especially when operating on a fixed-term lease. However, landlords can send tenants a 30-day or 60-day Notice to Vacate without just cause. This usually only applies to month-to-month tenancies, though. Moreover, this type of termination is only allowed in a handful of places. Most cities require just cause to evict a tenant.

Possible Defenses Against Eviction

Some tenants will put up a fight when faced with eviction either because they believe they are right or simply in an attempt to have the case dismissed. This can prolong the eviction process and cost you more money in the end.

Tenants can identify mistakes in written notices or claim that you delivered them improperly. Your tenant can also claim that you violated the tenant’s legal rights, such as failing to provide a habitable home. This might justify the tenant’s misbehavior or turn the focus away from the issue. If you want to win your unlawful detainer lawsuit, you must be prepared for anything.

Dealing With the Aftermath

If everything goes well, you can win the lawsuit and successfully evict bad tenants. They usually have anywhere from 48 hours to a week, depending on state laws, to evacuate the unit. Though, it does not necessarily end there.

If your tenant still refuses to leave the premises even after you win the case, do not resort to self-help. It is illegal in every state to take such matters into your own hands, even if the tenant squats or deals damage to your property.

You cannot physically remove the tenant or their belongings from the unit. You also cannot change the locks on the door or lock the tenant outside. It is also unlawful to turn off essential utilities or harass the tenant in any way, shape, or form.

What you can do, though, is to seek help from law enforcement. Go to the sheriff’s department and show them the court judgment. The sheriff or marshal will then allow the tenant a set amount of time to clear the premises. If they still refuse to do so, the sheriff or marshal will be the one to physically remove the tenant.

A Necessary Part of Being a Landlord

As much as you would like to, it is impossible to have model tenants all the time. Once in a while, you will come across a bad tenant who always misses rent or breaks lease terms.

Sometimes, no matter how uncomfortable it makes you feel, you have no choice but to evict a tenant. When that time comes, remember to act within the law. If you need more help navigating the often-confusing laws on eviction, look for a property management company using our online directory. Search by zip code or city to find the best company near you.

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How Do You Calculate Rental Income?

Posted on 2020/08/202020/10/29 by admin

Buying a rental property is one of the best real estate investments you can make. Before pulling the trigger, though, it’s important to do a thorough analysis of the property. You need to calculate rental income to determine whether the investment will become profitable. Here’s how you can find out the potential rental property income.

How to Calculate Rental Income: Importance of Positive Cash Flow

A lot of people consider investing in rental properties as the path to attaining financial freedom. While this is true to some extent, first-time investors must be aware of the true costs of property investment.

A high rental income does not necessarily mean large profits. You also need to think about expenses that may affect your cash flow each month. Only after considering these factors will you be able to determine whether you can achieve a good rental property return on investment (ROI).

What Is Cash Flow?

Cash flow is the difference between your rental income and property expenses. When investing in rental properties, you want to choose one that has a good or positive cash flow. That means that there is more money coming in than out.

The higher the cash flow, the better the rental property ROI. On the other hand, negative cash flow means that you will lose money on the property. There will be no profits.

Apart from earning larger profits, positive cash flow has other benefits. You can put more money in your reserve account for emergency repairs and other unexpected expenses.

You can also use the money to upgrade your rental property. These upgrades will increase your property value and allow you to collect more rent from tenants. Keep in mind, being able to save money can be what will keep your real estate investment afloat during tough economic times.

3 Easy Steps to Calculate Rental Income

Calculating rental income may seem complicated, but it’s a fairly straightforward process. It will take some effort since you have to obtain figures related to the rental property.

However, this is a worthwhile endeavor as it will give you a realistic view of whether a rental property is profitable or not. Here are five easy steps to follow to calculate rental income.

1. Determine Gross Income of Rental Property

With a residential investment property, gross income is typically the rent you collect from tenants each month. This will also include late fees, pet fees, and other related charges. If there are paid amenities such as a laundromat, include the income generated, as well.

2. Calculate All Expenses Related to the Property

In this step, itemize all the expenses made related to the rental property. This may include:

mortgage payments
maintenance expenses (repairs and replacements)
utility bills (water, electric, gas, trash, and so on)
HOA management or property management fees
vacancy rate (10% of rental income)
insurance
property or real estate taxes
marketing and advertising costs
miscellaneous fees

3. Obtain Cash Flow for Rental Property

Deduct property expenses from the gross income to obtain your cash flow or rental income. To calculate rental income yield, multiply rental income by 12 months.

Sample Calculations for Rental Income

Gross Income
$3,000
Property Expenses
Vacancy Rate (10%)	$300
Maintenance and Repairs	$300
HOA/Property Management Fees (10%)	$300
Utility Expenses	$200
Property Taxes	$250
Property Insurance	$150
TOTAL EXPENSES	$1,500
Monthly Rental Income
$3,000 – $1,500 = $1,500
Rental Income Yield (Annual Rental Income)
$1,500 x 12 = $18,000

How to Calculate ROI on Rental Properties

After you calculate rental income, make sure to calculate for rental property ROI as well. This will help you determine if purchasing a rental property will provide a good return or not. You only need to follow two steps for calculating a rental property’s ROI.

Divide annual rental income with the total cost of the property.
Multiply that number by 100.

So, if a $200,000 rental property has a rental income yield of $18,000, the ROI would be 9%

What is a Good ROI?

A good ROI will depend on your personal financial goals. Some property owners are happy with somewhere between 4-10% while others may want a return that is between 8-15%.

Regardless, any property that is under your ideal ROI would not be worth investing in. Anything exceeding your ideal ROI is a good investment deal.

Other Ways to Calculate for Rental Income

If you do not want to follow the above-mentioned steps for calculating rental income, here are a couple of alternatives:

Use a Rental Property Calculator

If you don’t want to crunch numbers manually, use a rental property calculator to determine rental income. You just need to input all the numbers and the calculator will provide you with a detailed breakdown of rental income, property expenses, and ROI.

Use the One Percent Rule

If you cannot obtain actual figures for a potential property, you can use the one percent rule of rental real estate to determine cash flow. Simply put, a property’s rental rate should be at least 1% of the total property value.

For a $200,000 property, rental income should at least be $2,000. The higher the rental income, the better. This is to ensure that rent collected each month will be equal or greater than your mortgage payments. Earning profit is still ideal but with this rule, you can at least guarantee that you will break even.

Keep in mind, though, that this is just a simple measurement tool that will help you identify potential investment properties. If you are seriously considering a property, it is still best to conduct a thorough analysis.

Are There Tax Deductions for Property Owners?

It’s important to include taxable income from rental properties on your annual returns. Taxable income refers to your total gross rental income. As per the Internal Revenue Service (IRS), advance rent must also be reported under gross income. For instance, if a tenant pays first and last month’s rent, the entire amount should be listed on your tax return.

Security deposits that will be returned to tenants do not have to be reported. However, if the property owner claims either a part or the entire security deposit as a form of payment, you should also report the amount.

Property owners can also make tax deductions on their annual returns. Generally, expenses related to managing or maintaining your rental property are considered deductible. Here is a list of deductible expenses:

mortgage interest
real estate tax
property expenses
maintenance and repairs
depreciation

Calculate Rental Income to Find Profitable Rental Properties

Investing in a rental property is a major financial decision. That’s why it’s important to do a thorough financial analysis. You must calculate rental income to see whether your desired rental property is profitable or not. For property investment to be successful, it’s important to have a good ROI. Not only can this lead to financial freedom, but it can also allow you to expand your real estate portfolio over time.

If you have additional questions or need further guidance on this matter, feel free to browse our online directory of property management companies. Search by city, state, or zip code to find the best company for your needs.

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15 Key Questions To Ask A Landlord Before Renting

Posted on 2020/07/152020/10/29 by admin

Any responsible renter knows that you should not enter a lease agreement with your landlord without knowing all the pertinent information. Before renting an apartment or house, there are some crucial questions you must ask a landlord first.

Important Questions to Ask a Landlord When Searching for a Home to Rent

There are an estimated 43 million rental properties in the United States alone, and that number seems to increase with each passing year. That means the options for renters are growing, and there are more prospects to consider. Part of sensible house hunting, though, is knowing what to ask when renting an apartment or house. You can’t blindly enter a deal without knowing rent details, lease terms, and any applicable policies. Doing that will only invite disputes down the road.

Here are the most critical questions to ask before renting an apartment or house:

1. How much is the rent and what is included in it?

Although listings usually show how much you expect to pay in rent, a lot of things could change in between posting the ad and signing the lease.

Make sure to ask how much the rent is and what is included. Does it cover utilities? If so, which ones? What about parking? It is imperative to get specific here so that you know exactly what you are paying for. Other than that, ask if there are any rent increases, incremental or otherwise.

2. How do I pay rent and when is it due?

Apart from the rent amount, it is equally important to ask about the method of payment and the deadline. Some landlords only accept cash or check while others make rent payments convenient with direct debit or even Venmo. Also, ask a landlord if there is a grace period for late payments, which will allow you some breathing room when you are strapped for cash.

3. What happens if I miss the rent due date?

Let’s face it — there may be times when you miss the deadline for rent and even go beyond the grace period. As such, one of the most important questions to ask when renting an apartment is, “Are there any penalties for late payments?” Most landlords will let you off with a warning the first time around and then impose a late fee or fine for subsequent occurrences.

4. Is the security deposit refundable?

Security deposits are generally refundable, though there are some cases when a landlord can keep a portion of your entire deposit. This usually happens if you break the terms of your lease or cause damages to the property.

5. Is renters insurance necessary?

Another question to ask a landlord is whether or not renters insurance is required. This type of insurance covers the cost of your belongings in the event of theft or damages arising from peril.

It can also offer liability coverage in case you cause damage to the property or injury to a person. Renters insurance is an out-of-pocket expense, so if you prefer not to pay for insurance, make sure your landlord does not require it.

6. How long is the lease duration?

Most leases run for 12 months, but there are some landlords who operate using a 6-month or 18-month lease duration. The apartment or house you ultimately rent should have a lease term you are comfortable with. After all, if you do not intend to stay for 18 months, there is no point in signing an agreement that binds you for that long.

7. How much notice is required before moving out?

One of the most critical questions to ask before signing a lease has to do with notice periods. Namely, how much notice your landlord requires before you vacate the premises. Your lease agreement will typically outline this information, which can range from a month to three months. Make sure to check with your landlord before renting so that you avoid breaking the lease terms when you decide to move out.

8. How much notice do you give before entering my unit?

Landlords must respect their tenant’s privacy, as outlined in the Landlord-Tenant Law. However, there will be times when your landlord must enter your unit for maintenance or repair purposes. Your landlord will need to provide you with notice before they access the property. Make sure to ask how much notice will be given (usually 24 hours) so that you can make the necessary arrangements ahead of time.

9. How do you handle emergency maintenance?

Maintenance is a common point of contention between landlords and tenants, especially when it comes to emergencies. Make sure to ask what constitutes an emergency and find out what sort of maintenance your landlord provides. You must also learn the process for making maintenance requests, which is usually covered in the lease agreement as well.

10. What is your pet policy?

Pets are family, and you may not want to live in an apartment or house that does not allow them. Ask a landlord if they allow pets in the first place. If they do, ask about any restrictions they may impose, such as limiting the size, breed, and number of pets.

11. What is your policy on guests?

Not all landlords have the same policy when it comes to guests. As such, it is one of the most essential questions to ask when renting a house or apartment. Find out if there is an occupancy limit and whether or not it applies to overnight guests. Ask your landlord what counts as an extended stay.

12. Can I sublet the unit?

You may have an upcoming trip or long-term out-of-town assignment for work. Either way, you will be gone for many months and don’t want to waste money paying rent for a unit you won’t use for a while. In this case, you may want to sublet your unit, though it will depend on your landlord’s subletting policies.

13. Can I renew my lease when it expires?

Most rental property owners will want to renew a quality tenant’s lease. As long as you fit the bill, your landlord will welcome a lease renewal with open arms.

However, if your landlord plans to sell the property after your lease expires, renewal is no longer an option. That means you will need to pack up and restart the house hunting process all over again. If you don’t want to do that, then make sure to ask if renewal is even possible at the end of the term.

14. Can I end the lease early? What happens if I do?

Early lease termination is something you may have to go through, so see to it that your landlord allows it. Most agreements will include a clause indicating the consequences of premature termination. Regardless, it is paramount that you ask a landlord whether early lease termination is possible and what penalties you will face when you break the lease.

There is usually a fee involved, but the amount varies from landlord to landlord. That said, you must stay away from landlords who don’t allow you to break your lease for any reason.

15. Would you live here?

Perhaps the most revealing question of all, asking this will determine whether or not the property is even worth your time. When you ask a landlord this question, remember to study their reaction. You can tell a lot about a property by the way the landlord responds. If they hesitate, wince, or avoid eye contact, there is a good chance the property comes with underlying issues.

Get the Answers in Writing

It is vital for any renter to ask a landlord these questions prior to signing a lease. The search for a place to live can be long and tiring. You can make the process a lot easier by coming in prepared with a set of questions. You may have some non-negotiable terms, such as permitting pets on the premises, and asking the right questions will allow you to narrow down your options.

Though, keep in mind that it is not enough to ask questions. You may get the answers you want through a verbal discussion only to get betrayed down the line. Make sure to get these answers in writing and review your lease thoroughly before signing.

Landlords can make the tenant selection and screening process faster and easier by partnering with a property management company. Look for the best ones using Rental Choice.

5 Most Common Rental Lease Violations And How To Handle Them

Posted on 2020/06/162022/01/26 by admin

Rental lease violations happen every day. Every landlord has had the misfortune of having a tenant break a stipulation in their lease agreement. The difference between a good landlord and a bad one is in the way these violations are handled.

The Proper Way to Resolve Rental Lease Violations

While a lot of Americans own their homes, there is still a significant chunk of the population living in leased or rented properties. Depending on the location, houses can be very expensive. Leasing is great in that it allows people to live in these expensive neighborhoods without buying houses. It also gives them an opportunity to get a feel of the community first before committing to purchasing a property in the area. For some, leasing just means they get to sleep with a roof over their head at night.

Ideally, every tenant that comes your way follows your lease agreement to a T. Sadly, no tenant is perfect. Like every landlord, you are most likely to encounter a tenant or two who will violate your rental agreement. It could be in the form of rental delinquency or misuse of the unit. Whether you are a new landlord or have only recently come across a problem tenant, you must know the proper way to deal with rental lease violations. Knowledge is power, and it may very well protect you from liability, too.

What Is a Lease Violation?

Before learning how to handle rental lease violations, you must first understand what constitutes a lease violation. Tenants who want to lease a particular property or unit must sign a lease agreement.

This agreement outlines the stipulations expected of the tenant such as when they should pay rent. The tenant must read the agreement prior to signing so they can negotiate any terms they dislike. Of course, the terms of the lease agreement must be reasonable. Otherwise, you as a landlord can face legal liability.

A lease violation is simply a breach of contract. A tenant commits such an act if and when they go against the stipulations outlined in the agreement. Violations can happen when tenants take certain actions or fail to take certain actions (in the case of failure to pay rent and the like).

How to Handle the Most Common Lease Violations

Rental lease agreement violations are not uncommon. Even the most responsible tenants might make a mistake every once in a while. As a landlord, you might be tempted to let small errors slide, provided your tenant does not make a habit of it.

Eviction is not always the first answer to your problems unless the tenant partakes in illegal activity. In fact, evicting your tenant for something as small as excessive noise will only cause more trouble for you down the line. Not only is it hard to find good tenants, but turnover can be expensive, too.

However, that does not mean you can let your tenants walk all over you. Rental lease violations are serious, and you must take the necessary steps to resolve them when they arise. Here are the most common violations and how you should handle them.

1. Long-Term Guests

Tenants have guests come over their leased units all the time, and that in itself is not a problem. But, when their guests begin to overstay their welcome, it becomes an issue. Long-term guests are really just unofficial tenants living in the property without your permission. Visitors can stay overnight, but you must make sure to include limitations in your lease agreement.

When creating your lease agreement, you must include the maximum number of days guests are allowed to stay. Any number over that is considered a violation of that provision. Make sure to also include the consequences of the violation, such as increasing the rental fee by $500 per person per month or terminating the lease.

2. Unauthorized Pets

Animals can inflict some serious damage to your property, so most landlords have a strict pet policy that tenants must follow. Make sure this policy appears in your lease agreement, along with a detailed description of any consequences the tenant faces should they have an unauthorized pet on their property.

You can impose a fine and then move up to eviction if the tenant does not remedy the situation. Of course, you cannot rely solely on sight or hearsay. You must have photographic evidence to support your claim.

3. Unpaid Rent

One of the most common problems landlords face is unpaid rent. Lease agreements should state the due date for payments, so even a single late payment can constitute a violation of the agreement.

The turnover process can be exhausting, though, and finding suitable tenants even more so. If you have never had a problem with the tenant in the past, you may feel inclined to give them a pass. A good way to remedy this is to stipulate terms for late payments in your agreement.

You can impose a rent protection lease violation fee or a late payment fee as well. That way, tenants can have some room to breathe and you still receive checks in the mail.

But, if the tenant refuses or fails to pay rent, you can start the eviction process. You can first issue a lease violation notice or, in this case, a pay-or-quit notice. This notice should demand payment of the amount due by a specific time. If the tenant fails to settle their debt by the deadline, you can force them out of the property.

4. Property Damages

Property damages are no joke — not only are they time-consuming to deal with, but they can also be very expensive.

Immediately before your tenant moves in, it is a good idea to document the condition of the property. Hire a professional to conduct an inspection to get a written assessment of the state of the property.

You can also take detailed photographs of the property, making sure to have your tenant sign the photo log acknowledging that the photos are accurate prior to their move-in.

When you have detailed documentation, you can comparatively assess the current state of the property. Perform property inspections every so often to keep things in good shape. The tenant should cover the cost of any property damages arising due to neglect, reckless actions, or whatever reason.

5. Commercial Use of Property or Unit

Working from home on a freelance basis is a far cry from turning the actual residence into a business location. If your tenant is receiving clients or large quantities of supplies on the regular, you have a right to put a stop to it.

You must also intervene when tenants use the leased property as a production zone. Tenants should only use the property as a residence, as it is intended. Make sure to include such language in your lease agreement.

Lease Violation by Landlord

Landlords are not exempt from committing rental lease violations. Tenants have certain rights, and infringing on these rights can spell legal trouble for landlords. For instance, tenants have a right to a habitable home. As such, landlords must ensure the rental property is fit to be lived in.

Tenants also have a right to privacy, which means landlords have no authority to enter the leased property whenever they like. If you as a landlord need to conduct inspections, address maintenance issues, or perform repairs, you must give your tenant reasonable notice.

When landlords violate these rights, tenants can take action. This can range from reporting code violations to filing a lawsuit. In some cases, tenants can withhold rental payments or even terminate the agreement as a result.

It Starts With the Lease Agreement

Throughout history, landlords and tenants have long had contentious relationships. Rental lease violations are a common point of disagreement between the two parties. As a landlord, you must know how to deal with these violations when they happen.

It is equally important to include detailed information on stipulations and all expected consequences in the lease agreement to protect yourself from lease violations. After all, you cannot punish a tenant for something they did or did not do if the terms were never defined in the agreement.

Many rental property owners don’t want to handle lease violations by themselves and would prefer help from someone else. If you can relate to this, check out Rental Choice’s list of property management companies that can help you with this task.

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Water Damage In Apartments: Who’s Responsible For Fixing It?

Posted on 2020/05/182022/04/26 by admin

Water damage in apartments are all too common, but who should actually cover the cost of repairs — the landlord or the tenant? Answering this age-old question requires a deeper look into the rights of renters, insurance, and landlord responsibilities.

Who Is Responsible for Water Damage in Apartments?

Apartment dwellers know all too well that water damage is a prevalent issue. It can arise from anything — a burst pipe in your bathroom, a leaky fridge, an overflowing tub from your upstairs neighbor, or other plumbing problems. It could even result from the weather or a natural disaster. And the consequences can range from mild to severe.

If you catch a leaky appliance immediately, you can prevent it from causing significant and long-lasting damage. You would be lucky if none of your personal belongings gets damaged, too. In more serious cases, water damage could have a lasting impact. For some, mold and mildew may start to form.

Whatever the case, the risk of water damage simply comes with the territory of apartment rentals. So, whether you are a landlord or a tenant, you will want to know what water damage entails and who should take responsibility.

Understand Your Renters’ Rights and Check Your Lease

If you are a tenant, the first thing you must do when you encounter rental property water damage is to check your lease. Your lease should contain provisions concerning water damage as a result of leaks, flooding, and the like.

Other than your lease, you should have a good grasp of your renters’ rights or tenant rights. In a majority of states, renters have a right to a habitable home, no matter how much your rent is.

This covers the basics, such as hot water, durable walls and floors, heating, and a roof that can keep the rain and snow out. It also means your home should be safe and free from any hazardous substances like asbestos, lead, and even mold.

If your landlord refuses to provide you with these necessities, the action you can take depends on where you reside. You, as a tenant, have the right to do one or more of the following:

Withhold rent
Take legal action
Break your lease without consequences
Pay for the repairs and deduct it from the cost of your rent

It is best to check your state laws to see which of these options are available to you.

Do You Have Renters Insurance?

When you come across water damage on a property, you should also check your renter’s insurance. Renters insurance is an essential policy that protects you from unforeseen issues. This includes theft, vandalism, natural disasters, power surges, fire, and water damage in apartments.

Every insurance policy is different. Most policies only cover the cost of damages to your belongings as a result of the water leak in apartments. The actual damages may not be covered.

For example, if a broken pipe in your apartment causes damage to your laptop, your insurance will likely cover the cost of your broken laptop.

Some providers offer separate insurance policies for various disasters or events out of your control, such as flooding. Of course, it still depends on what type of renters insurance you have. To make sure, it is best to read your policy carefully to know what your provider can pay for and what it can’t.

If you do not have renters insurance, then it is best to get one as soon as possible. Renters insurance is a requirement for most apartments, and landlords may not even allow you to move in if you do not have it yet.

Landlord vs Tenant

If the water damage occurs as a result of the tenant’s negligence, then the tenant should cover the cost of the damage. For example, if you already know you have a leaky fridge and fail to have it repaired, any resulting damages are deemed your fault.

In this case, you, as a tenant, should take care of the water damage yourself. You can either pay for the repairs with your own money or settle the issue with your insurance provider.

Keep in mind, though, that if you choose the latter option, you must file a claim with your provider immediately. Do not let it sit and wait until the situation worsens.

If you do, your provider may refuse to cover further damages caused by your delayed action. You can also talk to your insurance provider or review your policy to see if they can cover the cost of your damaged belongings.

On the other hand, if the tenant is not at fault, then the landlord or property manager should be responsible for fixing the damage. For instance, if a burst pipe in your kitchen causes damage to your floors, then your landlord should replace the flooring.

In this case, you must make sure to immediately send a written notice to your landlord.

When the Neighbor Is at Fault

Sometimes, water damage in apartments happens due to a neighbor’s actions. For example, if your upstairs neighbor accidentally floods their bathroom, water may start to leak through your ceiling and damage your belongings.

In such cases, your insurance will likely pay for the damage to your possessions. But, your damaged ceiling will be left in the hands of your neighbor and your landlord. Again, if this happens to you, make sure to notify your landlord as soon as possible.

The same consequences apply if the roles were reversed. If you happen to cause damage to your neighbor’s property and belongings, you should discuss the issue with your landlord. As usual, talk to your insurance provider about covering the cost of your damaged belongings.

As for the structural damages, if you are not at fault, then your landlord should take responsibility. But, if you are at fault, then you should cover the cost.

The Bottom Line

Dealing with water damage in apartments can be a challenging and time-consuming task. But, with a fundamental understanding of renters rights and renters insurance, you can easily solve any problems that arise as a result.

While tenants rights and insurance can cover you, as a renter, you should do your part in making sure no water damages occur. On the other hand, if you are a landlord, you must ensure the apartments you rent out are habitable.

What Are The Legal Liabilities Of Property Managers

Posted on 2020/04/082022/01/26 by admin

Property managers face a ton of issues on a day-to-day basis, not just from tenants but also from property owners. Some of these issues can get property managers in legal trouble. But, what exactly are the legal liabilities of property managers?

Be Wary of the Legal Liabilities of Property Managers

Property managers are responsible for managing a high valued asset for their clients. As such, being a property manager is a considerable responsibility. Property owners typically enter into detailed contracts with property managers. These contracts specify what exactly the property manager is liable to avoid potential legal liabilities with tenants.

Even if a clear contract is drafted, there are still issues that property managers need to be prepared for. Especially in the event that a dispute arises with the property owner. To have a clear understanding of the potential legal liabilities of property managers, it is highly recommended to review the information below:

1. Crimes at the Property

Depending on the exact wording of the contract, the property manager may be liable for damages related to crimes committed at the property. Property managers must have a clear strategy to protect the property and keep it in the best possible condition.

If you are a property manager, make sure to carefully look over your contract. This way, you can ascertain what exact preparations you must take to provide the property with the most protection possible.

2. Environmental Hazards

Environmental hazards are a common legal liability of property managers. Mold, lead, or pests are some examples of environmental hazards that property managers can be liable for. It is important for property managers to regularly inspect these issues.

Such growths are quite serious and can cause harm to the tenants leasing the property. Property management companies can be found liable for mold, lead, or pest issues if it can be demonstrated that they should have known the risk and the requirement to make repairs.

3. Tenant Injuries

If a tenant is injured from something that a property manager should have known to repair, then the property management company can be liable for the tenant’s injuries. It is important for property management companies to regularly conduct industry-standard inspections.

This way, they can show proof that they have been living up to their required responsibilities under the contract. This will also help shield them from liability if a negligence claim should arise from an injured tenant.

4. Actions from Tenant’s Animals

If a tenant has an animal, the property management company must clear it with the property owner first. They must also make sure that the animal is not a threat to the neighborhood.

If a property management company, for example, has knowledge that the tenant purchased a Pitbull and that Pitbull is aggressive, the property management company must ask the tenant to remove the Pitbull from the property.

Should the property management company do nothing and the Pitbull attacks a neighbor, the property management company has the potential to be liable for injuries that the neighbor sustained.

5. Defective Construction

Property managers must also be wary of construction. A property management company must supervise renovations or constructions on the property intently. If the construction was defective under the company’s supervision, they can be held liable for the damages. Property management companies have to be extra careful to make sure they are selecting reputable licensed contractors with extensive experience.

Beyond choosing a qualified contractor, property management companies have to constantly inspect whether any project has defective construction. If there are any, the company must request renovations to keep tenants safe. If the property management company fails at these responsibilities, they could face liability resulting from any injuries that occur on the property.

6. Tenant’s Actions

Property management companies can also be liable for actions committed by tenants. For instance, if a tenant has been cyber-stalking a neighbor, property managers must take the neighbor’s complaint seriously. If the property management company ignores the complaint and then an assault occurs as a result, the company can be held liable for not removing the tenant promptly.

Property management companies are responsible for finding qualified tenants for the properties that they manage. These tenants need to not only have the ability to pay, but they must also not disrupt the community.

Furthermore, these tenants must follow all local laws. If the property management company does not follow these strict guidelines, they may face additional penalties for not following an essential part of their property management contract.

How Can Your Property Management Company Shield Itself from Liability?

There is only so much that they can do to shield themselves from liability. That reality may be harsh, but it is nonetheless true. There are always new threats emerging in the real estate sector that may not have been anticipated in property management contracts.

That said, there are many protections that property management companies can provide themselves. By following their part of the property management contract seriously, they can protect both their tenants and themselves.

Another golden rule for property management companies is to provide quality service to their tenants. It is quite common for disputes to arise when property management companies are not holding up their end of the agreement and the tenants suffer as a result.

Property management companies should also review their contracts with their clients each year to ensure that there have been no fundamental legislation changes that could impact their liability in their contract. If they are able to think with this mindset, then it will be possible to shield their property management company from as many potential legal liabilities as possible.

Take These Legal Liabilities for Property Managers Seriously

It is important to know the legal liabilities of property managers. After all, awareness is the first step in protecting your entity from litigation. Everyone knows lawsuits bring forth many headaches. They eat up your time and money, not to mention give your company a bad reputation even if you end up winning the case.

Follow your contract agreement religiously and make sure to inspect the property regularly. By doing so, you can shield yourself and others from unwanted damages.

If your property management company is looking for a partner in advertising, don’t hesitate to give us a call today. Your satisfaction is our guarantee.

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Are There Rules For An Apartment Rent Increase?

Posted on 2019/02/112022/01/27 by admin

Can landlords legally raise the rent? If they can, how high can they charge? Whether you’re a landlord or a tenant, it’s critical to know how to handle a rent increase.

Why Is a Rent Increase Even Necessary?

If a landlord made it out a year charging the same monthly rent, then why is there even a need to raise it? Why do landlords raise rent every year? Why do apartments raise rent every year? The answer is quite simple. Rent is how landlords make money, and they need to make sure there’s enough of it to cover property expenses.

There’s a lot that goes into managing a rental property. Landlords need to pay for mortgage payments, insurance, maintenance, repairs, utilities, and property taxes, too. If the property belongs in a homeowners association, then there are also HOA dues to pay for. Some landlords outsource their duties to a company or manager, so rent also needs to cover property management fees.

Because the cost of these expenses can go up every year, landlords need to adapt. Oftentimes, that means imposing a rental rate increase. If they don’t raise rent and their expenses continue to climb, they will lose out on making a profit. And isn’t rental property management just a business when it comes down to it?

Is It Legal to Raise Rent?

Now that you know why an increase is necessary, it’s time to find out whether or not landlords can even do so in the first place. Can a landlord raise rent fees? In a word, yes. Landlords do have the power to raise tenant rent, and it’s generally legal. There are some exceptions, though rental increase laws can differ from state to state.

Landlords and tenants should always refer to their lease agreements. The lease should contain language concerning a possible annual rent increase. Some agreements specify a maximum dollar amount, while others rely on a percentage every time the lease renews. Landlords should explain rental rate increase policies to their tenants upon move-in so as not to surprise them when it eventually rolls around. After all, not all tenants read their lease.

When Can a Rent Increase Take Place?

Both landlords and tenants should also know when the proper time is to increase rent. Landlords can’t just raise the rent on a whim, so when should they do it?

Can Landlord Raise Rent in the Middle of a Lease?

No, landlords can’t increase the rent while a fixed-term lease is still ongoing. For instance, if a tenant’s lease has a duration of six months, the landlord can’t raise rent three months into the lease.

Can Landlord Increase Rent After 1 Year?

It depends. If the lease has already ended, then the landlord can increase the rent provided they supply proper notice, follow lease agreement stipulations, and comply with state laws. Again, landlords can’t raise the rent mid-tenancy.

Can a Landlord Raise Rent If Another Person Moves In?

Lease agreements typically contain language that restricts having another person move in mid-lease. This is because the agreed-upon rent only covers the tenants the landlord initially signed off on. If another person moves in after the lease has expired, then the landlord and tenant will usually need to re-negotiate the rent. In this case, though, the landlord does have the power to raise the rent.

Do Landlords Need to Provide a Rent Increase Notice?

Landlords should provide their tenants with a written notice prior to the actual increase even if the lease agreement already stipulates it. It’s best to send this rent increase notice form to tenants via certified mail. This way, there is recorded proof that a tenant received the notice.

As for the notice period, landlords should refer to their state and local laws, as the requirement can vary from location to location. Most states require 30 or 60 days’ notice, while others require a certain amount of notice depending on the rental rate increase. For instance, in California, landlords must provide 90 days’ notice if they will raise the rent by 10 percent or more.

What does a rent increase letter to tenants look like? Here’s a sample:

Download Your Sample Notice to Increase Rent Here

Average Rent Increases

How much does rent go up yearly? The average annual rent increase rate is somewhere between 3 and 5 percent. Given this rate, that would mean an increase of $30 to $50 for a monthly rent of $1,000. To compute by how much rent will increase, simply follow the formula below:

Current Monthly Rent * Rent Increase Percentage = Amount of Increase to Monthly Rent

Taking the example above, the current monthly rent of $1,000 should be multiplied by 0.03 (3 percent in decimal form) to arrive at $30. If a landlord sets a fixed dollar amount as the rent increase, simply reverse engineer the equation to get the rent increase percentage. Follow the formula below:

(Amount of Increase to Monthly Rent / Current Monthly Rent) * 100 = Rent Increase Percentage

Applying this formula, the monthly rent increase amount of $30 should be divided by the current monthly rent of $1,000 to arrive at a quotient of 0.03. Then, multiply this by 100 to get a rent increase percentage of 3 percent.

Average Rent in the US

It’s worth noting that the average apartment rent can vary depending on the city and state. Nationally, though, a one-bedroom apartment costs around $1,060 per month, while a two-bedroom apartment costs around $1,315 per month.

The cheapest states to rent are West Virginia, Indiana, and Iowa, at $800, $862, and $892 per month, respectively. On the other side of the spectrum are New Jersey, Hawaii, and California, commanding a median rent of $1,700, $1,734, and $1,901, respectively.

What’s the Most a Landlord Can Raise Your Rent?

Generally speaking, there is no limit to how much a landlord can increase rent. If a landlord wishes to increase rent by 20 percent, they can certainly do so provided the lease specifies this and the tenant signed it. But, there are exceptions to this rule.

Some states have certain restrictions as to how much a landlord can raise the rent. If an apartment is rent-controlled or rent-stabilized, that usually means there is a cap on increases or an annual limit. Such laws are meant to protect tenants from unreasonable price hikes.

California recently passed a statewide rent control law known as Assembly Bill 1482. How much can a landlord raise the rent in California? According to the bill, landlords can’t increase rent by more than 5 percent, in addition to the local inflation rate, in a single year.

How much can a landlord raise the rent in NYC? Unlike California, New York doesn’t have a statewide law. But, on the bright side, many apartments in New York City are rent-stabilized. Because not all states have rent control or rent stabilization laws, landlords must do their own research to know if an apartment rent increase law applies to them.

Can Tenants Negotiate Rent Increase?

Tenants can try to negotiate the increase with their landlord, but success isn’t guaranteed. Some landlords are more amenable to negotiating, while others aren’t. How do you argue against rent increase?

First of all, it’s a good idea for tenants to be on their best behavior. Tenants should ask their landlords politely and try not to raise their voices. It also helps if they’re good tenants who pay rent on time and take care of the property.

Apartment hunting and the subsequent moving process can be a hassle, so if a tenant can afford it, it’s usually best to just pay the increase. If a tenant refuses to pay the reasonable and lawful increase in rent, they must move out once their lease expires. Failure to do so can lead to eviction or legal action.

But, a tenant does have the option to sue their landlord if they feel like the increase was an act of discrimination or revenge. Discriminating against a tenant is a violation of the Fair Housing Act, while retaliatory action is illegal in almost every state.

Ask for Upgrades

So you can’t get them to budge on the rent using either of the above techniques. Now it’s time for you to look for weaknesses in your apartment home. Does the carpet need replacing? Or maybe the counters in the kitchens are dated, or you have had to contact the landlord to repair the washer and dryer several times over the life of your lease.

Approach the landlord with your list in your hand. Politely show them the list. Explain that you understand that they aren’t open to maintaining the current rent amount. If they have to find a new renter, chances are they may have to replace equipment or upgrade appliances to remain competitive in the marketplace.

Explain that you will be open to paying the higher rent, and in return, you would appreciate the following upgrades in your apartment home.

They probably aren’t aware of the faults with the apartment and are thinking about the costs of having to replace or upgrade certain aspects of the home.

According to Rentkidz.com, some renters have been able to get new granite counters along with stainless steel appliances or even new carpet or flooring.

If none of the techniques work, then maybe it’s time for you to move on. That is what is so great about leasing. You can just pick up and move!

Final Words

Most tenants dread the very mention of a rent increase, but they should try to understand it from their landlord’s perspective. Managing a rental property isn’t easy and often costs a lot of money. As long as the increase is reasonable and within the law, there should be no problem with paying it.

Landlords can greatly benefit from the help of a property management company. Use Rental Choice’s online directory for a reliable company near you.

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Removing Mold In Apartment: Is It Tenant Or Landlord Responsibility?

Posted on 2016/12/282022/01/31 by admin

Mold in apartments and other rentals can be very dangerous. If you are a tenant who suspects the presence of mold, it’s important to take the necessary steps as soon as possible. But who is responsible for removing mold in rental houses? Here’s what you need to know:

Mold in Apartment Rentals: Who Is Responsible for Removing It?

There are currently no federal laws, as well as very few state laws, that cover the landlord’s responsibility when it comes to mold or mold spores. However, according to the Implied Warranty of Habitability, landlords have a legal duty to maintain their rental property. They must ensure that a rental property is fit and livable for the entire duration of a tenant’s lease.

Landlords must address maintenance issues that could lead to excess moisture or mold issues for renters. This includes fixing leaky pipes, windows, or roofs throughout the rental property, as well as ensuring that exhaust fans in the kitchen and bathrooms are working properly. If the rental property is located in a humid climate, the landlord may also install dehumidifiers to prevent mold growth.

Landlords must also conduct regular property inspections to ensure that the rental units are fit and livable. Through regular inspections, landlords can make the necessary fixes to prevent mold growth in apartment units.

Are Landlords Responsible for Mold Caused by Tenants?

Mold growth can also be caused by a tenant’s own behavior. For example, excess moisture can build up if the tenant does not ventilate the apartment regularly or fails to maintain a level of cleanliness throughout the apartment.

Regardless of the cause of mold, the landlord is still responsible for addressing the issue and ensuring that the rental property is habitable. However, if the tenant caused mold growth, the landlord might charge you for expenses incurred or deduct from your security deposit.

Mold in Apartment Tenants Rights: Make Sure to Check Your Lease Agreement

Since there are no clear-cut regulations when it comes to mold in rental property, most landlords will include relevant clauses in their lease agreements, or even have a lease addendum for mold. While landlords are still responsible for removing mold in a rental house, these provisions can relieve them from potential liabilities.

In a typical lease agreement or mold lease addendum, a landlord will inform the dangers of mold and the importance of mold prevention. Upon signing the contract, the tenant acknowledges that the rental unit is clean and free of mold prior to moving in. The tenant also agrees to employ strategies that will prevent the growth of mold in apartments — such as using exhaust fans, opening windows, and cleaning the rental property regularly.

Is Landlord Responsible for Mold Testing?

Some landlords may offer free mold inspections for renters prior to moving in. It’s helpful to have a move-in checklist so that both landlord and tenant can establish the condition of the rental property.

Based on the findings of the apartment mold inspection, the tenant can ask the landlord to make the necessary changes prior to moving in. It is important to know the correlation between mold and tenants’ rights as written within the agreement.

What Do I Do If I Suspect Mold in My Apartment?

If a tenant suspects that there is mold in the apartment, it is his/her responsibility to inform the landlord as soon as possible. In turn, it is the landlord’s responsibility to ensure that the mold issue is addressed properly and within a reasonable time frame. In cases of black mold in a rental house, landlords must act with urgency due to the potential health risks.

Frequently Asked Questions About Mold in Apartment Rentals

To further understand the responsibilities of both landlords and tenants, here are answers to frequently asked questions about mold in apartments and other rental properties.

How Can I Test My Apartment for Mold?

Tenants should stay vigilant when it comes to mold in apartments.

Be on the lookout for mold in apartment symptoms such as water spots or suspicious stains, a musty or moldy smell, and leaky pipes. If you have been experiencing allergic symptoms, headaches, or difficulty breathing, it may be mold.

Make sure to alert your landlord as soon as possible. Your landlord can inspect the rental unit and test for the presence of mold. Alternatively, if the landlord does not know how to test for mold in the apartment, they can outsource it to a third-party professional.

What Can I Do If My Landlord Won’t Fix Mold Problem?

Before taking any action against your landlord, make sure to check your lease agreement for how to deal with mold. If the landlord has clearly broken the terms of the lease agreement, specifically when it comes to fixing the mold problem, the tenant may pursue further action. For example, you can consider reporting black mold in apartments to the health department or other local agencies. Your city or county can then contact the landlord and have them fix the mold issue.

Can I Refuse to Pay Rent If There is Mold?

Tenants cannot simply refuse to pay rent if there is mold in the apartment. You must first check state and local laws, as well as the terms of your lease. Tenants must also ensure that they take the proper steps of dealing with mold — such as providing proper notice to the landlord. If the landlord fails to act within a reasonable time frame, the tenant might be able to withhold rent, break the lease early, or file a lawsuit for mold-related health issues.

Can You Sue for Mold Exposure in Apartment?

If your landlord fails to address the mold problem and it leads to health problems, you might be able to sue. Given the potential health risks, there have been many mold lawsuit settlements throughout the country. Lawsuits can be lengthy, though, with no immediate results. As such, it’s up to the tenant to decide whether to sue or not. If you have renter’s insurance, you might have coverage for tenant relocation due to mold. This can offset some of the expenses if you decide to leave the rental property.

What to Do If My Apartment Has Mold?

If your apartment has mold, the first step is to inform your landlord. It is the landlord’s responsibility to remove mold in apartment units. However, tenants must not forget that they have responsibilities as well. You must keep the rental property is clean and well-maintained. Combined with regular inspections from your landlord, this will prevent mold from growing in the first place.

Are you a landlord who needs help dealing with mold in apartments or any other maintenance issue? Consider the benefits of hiring a property manager. Feel free to browse the Rental Choice online directory to find the best property management companies in your area!

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