What are the rights of tenants?

Tenants have a right to a habitable home, a right to fair housing, a right to privacy, and a right to sue. There are also certain renters rights concerning security deposits, evictions, and controlled rent increases (in some places).

What are the most common landlord tenant issues?

The most common landlord tenant issues are late or non-payment of rent, security deposit use, noisy tenants, maintenance issues, broken appliances, rule violations, intentional property damage, legal disputes, high turnovers, pest infestations, and unpaid utilities.

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.

What are the pros of tenant screening services?

The benefits of using a tenant screening service is that they are quick and convenient, have a consistent screening process, lead to more efficient tenant screening, and they are relatively low cost.

What are the cons of tenant screening services?

Not all tenant screening services are the same. You have to watch out for errors and inaccuracies. With instant but automated reports, there's also a lack of personal touch or qualitative data. Other cons include potential issues with FCRA compliance and a lack of customer support to answer your queries.

What should landlords do when tenants move out?

On their part, landlords should expect to complete the following steps to ensure a smooth move out process: receive proper notice, conduct an inspection, ask for the locks and keys, and send the security deposit.

What are the benefits of renting to students?

However, student tenants also offer several advantages, such as: fewer vacancies, location benefits, higher rent, and no upgrades necessary.

What are the disadvantages of renting to students?

On the other hand, there are also drawbacks to renting rooms to college students. These include the following: first-time renters, high turnover rate, property damage more likely, and vacant during summer.

7 Renters Rights Every Tenant Should Know

Posted on 2021/04/15 by Denise

Property managers and landlords must always remain aware of the various renters rights they must respect. In doing so, they can stay compliant and prevent liability. But, what are these renters rights anyway?

What Are Renters Rights?

Renters rights, also known as tenants rights, are laws that protect renters from discrimination and unfair practices. These rights also ensure that renters are not forced to live in dirty or unsafe places. Basically, these rights cover what landlords or property managers must do and can’t do. Should landlords or property managers infringe upon these rights, tenants have the option to pursue legal recourse.

The Most Important Tenants Rights to Know

It is imperative that property managers and landlords study up the different rights of renters. This way, you can prevent accusations of discrimination and unfair housing practices, thereby safeguarding yourself from potential liability. Additionally, upholding these rights will help you retain quality tenants and reduce turnover rates.

Here are seven tenants rights you must know about:

1. Right to a Habitable Home

Tenants have a right to live in a habitable home. That means you should provide your tenants with a house or unit that they can reasonably and safely live in. If there are holes on the wall or large cracks on the floor, that is not a habitable home. The same goes for a lack of electricity or running water, poor wiring, and pest infestations. Basically, the place should be suitable enough to live in.

This also means that you must follow through with any needed repairs to maintain habitability. If the issue has to do with bad wiring, hire an electrician to fix the problem. Should your tenant submit a complaint, make sure to respond to it as soon as possible. Then, address the complaint.

Some repairs, of course, don’t fall under the landlord or property manager’s responsibility. Minor problems such as broken window screens, dripping faucets, and malfunctioning light bulbs are usually the tenant’s responsibilities. Tenants should check their lease to see which items and repairs are included.

You might feel tempted to include a clause in your rental agreement that forces your tenant to waive this right. But, many states deem this practice unlawful.

2. Right to Fair Housing

Perhaps one of the most well-known renters rights is the right to fair housing. The federal Fair Housing Act forbids housing discrimination on the basis of a person’s color, national origin, race, disability, sex, familial status, and/or religion. This applies to both existing and prospective renters. The Americans With Disabilities Act provides similar protections to persons with disabilities.

If you advertise your listing and specifically exclude tenants of a certain religion, for instance, that is considered discrimination. Many states also have their own anti-discrimination or fair housing laws that extend the list of protected classes. California, for one, also prohibits discrimination based on citizenship or immigration status, source of income, sexual orientation, and gender identity or expression, among others.

3. Right to Privacy

Tenants also have a right to privacy, which means you can’t just enter their unit as you please, even if you own it. Of course, sometimes, you will need to enter the unit to perform repairs or inspections. In such cases, you will need to provide your tenant with reasonable notice prior to the entry (at least 24 hours before). You must also make sure to only conduct business during business hours. Emergency cases, though, require no notice.

4. Right Regarding the Security Deposit

More often than not, renters need to pay a security deposit after signing the lease. The landlord or property manager then returns this security deposit following the end of the lease. If there are any damages to the unit or home, deductions from the deposit will be made accordingly. The same applies when the tenant has any outstanding rent. If you intend to keep some of the deposit, make sure to provide your tenant with written documentation of the reason.

Keep in mind, though, that many states have laws that limit how much you can charge as a security deposit. There are also laws that require you to return the deposit within a specified amount of time after the lease term ends. Additionally, you can’t charge one renter a higher deposit than all others without reason. Though, the presence of a pet or other liabilities can warrant a higher deposit.

5. Rights Concerning Evictions

For fixed-term leases, landlords or property managers can’t evict tenants without cause or reason. Month-to-month leases, though, usually allow evictions without cause.

According to Landlord-Tenant Law, you can only evict tenants when they have violated the terms of your lease agreement. Typically, this involves nonpayment of rent, purposefully causing damage to the property, jeopardizing the safety of other tenants, and committing a crime. It also happens when tenants bring in pets or roommates without your permission.

At this point, you can terminate the tenancy by serving your tenant with an eviction notice. But, you must allow your tenant the opportunity to remedy their violation first. For example, if it has to do with nonpayment of rent, give them time to pay. Should your tenant fail to do so, you can then initiate eviction proceedings in court.

Rules on eviction state that tenants must receive notice of the eviction proceedings. They must also be allowed to appear in court as well as file an answer and explain themselves. If you win the case, your tenant must move out. Keep in mind that you can’t use self-help methods here. That means you can’t change the locks on the unit or throw out your tenant’s belongings. You must have the sheriff or sheriff’s deputy remove the tenant from the premises.

6. Right to Sue

Tenants possess the right to sue their landlords, which usually happens when disputes arise. For example, if your tenant requests that you fix the roof (which is leaking) but you fail to address or even respond to it, they have the option to submit a complaint with their city’s housing authority. You can then expect to receive a 60-day notice ordering you to remedy the situation. Should you still fail to comply, your tenant can pursue legal action.

7. Right to Controlled Rent Increases (In Some Places)

In places without rent control laws, you can essentially raise the rent by however much you like. But, that doesn’t mean you can do it anytime you want.

You must provide your tenant with sufficient notice, and the timing of the increase must be lawful. That means the increase should come when the lease term ends unless your lease specifies otherwise. Additionally, you can’t raise the rent in retaliation for something your tenant did.

Several cities, though, have rent control laws in place. If you operate a rent-controlled unit, you can only increase the rent by a certain percentage. This percentage differs from city to city. Moreover, you can only raise the rent once a year.

A Necessary Part of Property Management

Understanding renters rights is a critical step in becoming an effective property manager or landlord. Failure to familiarize yourself with these rights can result in a litany of offenses. Finally, keep in mind that even if you have an illegally converted unit, your tenant still reserves the same rights.

For landlords, keeping up with ever-changing laws can come as a challenge. This is why most landlords prefer to seek the help of a professional property management company. Start looking for the best one in your area today using our comprehensive online directory.

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11 Common Landlord Tenant Issues And Solutions

Posted on 2021/03/11 by Denise

Landlords and tenants don’t always have the best relationships. As you may know, there is a lot of room for disagreements and fights. Learn how to deal with the most common landlord tenant issues below.

How to Solve Common Landlord Tenant Problems

As a landlord, you are well aware of the many problems that come with your job. Dealing with tenants is not always easy, especially when you have bad tenants. Whether you are new to the landlord game or not, though, the most common tenant problems do come with effective solutions. Here are some of the most frequent landlord tenant issues and how to solve them.

1. Late or Non-Payment of Rent

If you ask any landlord what their top tenant issues are, late rent payments or non-payment will usually take first place.

Tenants have various reasons for paying their rent late or not at all. It could stem from financial struggles, a dispute with the landlord, or just plain forgetfulness. As with a lot of problems, though, communication plays a key role in helping resolve this.

Make sure your tenant knows when rent is due and how much. If payments are consistently coming in later than usual, talk to your tenant and ask them what the problem is. You can try to help them out by negotiating a flexible payment plan. You can also prorate any applicable late fees.

If possible, allow your tenant to look for a roommate so that they have someone they can split the rent with. You can also move them to a different unit that costs less if you have any. Should the problem lie with the method of payment, try setting up more convenient ways to accept rent.

2. Security Deposit Use

This is a landlord tenant issue that is usually linked to the first one. Some tenants think that they can just use the security deposit to cover rent, but that is not what the security deposit is for. Again, communication is paramount here.

Make sure your tenant knows from the get-go that the security deposit can’t be used to cover rent, even if it is for the last month on the lease. Don’t forget to include these terms in your lease agreement. Even though many landlords withhold the security deposit for that purpose, it is important to keep in mind that the amount may not be enough. Factor in any damages you need to pay for, and you are looking at a loss.

Another option is to collect both the first month’s rent and the last month’s rent right from the beginning. Then, collect a separate amount to use as a security deposit. As with any of your terms, this should also be clearly written in your lease.

3. Noisy Tenants

Noise complaints happen all the time and are one of the most common landlord problems.

If your tenant complains about a noisy neighbor, the actions available to you depend on whether or not you are also the neighbor’s landlord. In case you are not their landlord, you can’t really do much except advise your tenant to talk to their neighbor directly. If you have another unit available, you can offer to move your tenant there instead.

If both parties are your tenants, it is still best to leave them to resolve their dispute on their own. Include a clause in your agreement that requires tenants to sort out their disagreements amongst themselves to the best of their abilities. If you must intervene, make sure your agreement reflects that tenants may not always like the resolution.

When getting involved, talk to the noisy tenant in a calm yet stern manner. Let them know that someone has complained about the noise and ask them to avoid making noise in the future. It is equally important that your lease agreement restricts the amount of noise allowed.

4. Maintenance Issues

First of all, you should make sure your lease agreement clearly defines who is responsible for what. Most of the time, though, maintenance falls under the landlord’s responsibilities. If your tenant complains about a maintenance issue you are responsible for, respond in a timely manner. Let them know you heard their complaint and when they can expect the problem to be fixed. Then, proceed to address the issue promptly.

5. Broken Appliances

If your contract says you are responsible for maintaining and repairing broken appliances, make sure to hold up your end of the agreement. Typically, the responsibility falls on your shoulders if the property already comes with appliances. Otherwise, though, you can always include a clause in your lease agreement stating that the tenant is responsible for repairing or replacing any appliances, even if they come with the unit.

But, that does not mean you should allow tenants to move into a unit with already-broken appliances. See to it that you inspect the property and its contents for any damages. If an appliance is broken, replace it before a new tenant moves in.

6. Rule Violations

Your lease agreement should include all the rules your tenant should follow. This includes any restrictions on noise, pets, subleasing, and the like. While there are certain tenants who adhere to the rules religiously, there are also bad renters who treat rules as optional rather than mandatory. Then again, there are also some good tenants who slip up every once in a while.

If your tenant has broken a rule, make sure to send them a written notification of the violation asking them to remedy the situation by a certain date. The notice should also include the penalty for failing to comply, such as eviction.

In some cases, there is room for negotiation. For instance, if you have a no-pets policy and a tenant brings home a dog, you can amend your lease to require an additional pet deposit. This deposit will cover any damages the tenant’s dog might cause.

7. Intentional Property Damage

One of the most irritating rental problems you can face is intentional damage.

There are just some bad tenants out there who purposefully damage your property before they move out. Worse yet, they will feign innocence and claim that the damage was already there when they first moved in.

Avoiding this problem will require you to take action right from the start. Before a new tenant moves in, conduct an inspection of the property (with the tenant present). Take photos of the property’s condition and ask the tenant to sign them. Then, once the tenant moves out, conduct another inspection — again, documenting the condition of the property with pictures. Both move-in and move-out inspection photos should have time and date stamps, too.

Additionally, as a landlord, your property is an investment. Therefore, you must protect it by taking out a property insurance policy. Look for a policy that serves landlords specifically since regular homeowner’s insurance may not be enough. Also, make sure your policy has sufficient liability coverage. This will save you money in the long run.

8. Legal Disputes

Have you ever had a tenant bring up the law in the middle of an argument? What about a tenant who has threatened to file a lawsuit against you? Believe it or not, this type of thing happens a lot. But, not all landlords even know that they are violating the law until it is pointed out to them.

The best way to avoid legal troubles is to familiarize yourself with the law. This includes federal, state, and local laws that apply to landlords and tenants, such as the Landlord Tenant Law. Some landlords can’t be bothered to go through this time-consuming process, so they seek the help of a property management company instead.

9. High Turnovers

Many landlords wonder why their tenants never renew their leases. But, if you look closely at the state of your rental property, it is easy to see why. One of the top tenant issues that cause them to leave is maintenance and repair disputes. Tenants simply don’t like living in a poorly maintained, dilapidated unit. With tons of better options out there, they make the easy choice of packing up and moving out.

Thankfully, this problem comes with a simple solution — respond and address. When a tenant makes a maintenance or repair request, address it as soon as possible. And don’t make hasty repairs, too. Make sure the work done is of great quality so that tenants remain satisfied and don’t have to keep making the same requests.

Another way you can minimize your turnover rate is to make upgrades to your property. Give your tenants a comfortable space to live in and amenities that put you on the map.

Perhaps you need to update your landscaping or do some repainting. You should also make sure you are charging a competitive rate. Additionally, talk about the possibility of a lease renewal about 3 to 4 months in advance. You can even offer a discount, if possible, should they agree to renew.

10. Pest Infestations

Pests are another one of the landlord issues that drive away tenants. Nobody wants to live in a property with rats and cockroaches for roommates.

Pests come from anywhere — tenants can even bring them into the unit from the outside. Bedbugs, in particular, easily spread from unit to unit. The best way to address pests is to hire an exterminator at the first sight or mention of them. In doing so, you can prevent a full-blown infestation.

11. Unpaid Utilities

The responsibility of paying for utilities is another common point of contention among landlords and tenants. Your lease agreement should clearly define who shoulders this responsibility. Even if the utility bills are registered under your name, if your lease agreement states that the tenant pays for utilities, then the tenant should follow through.

This usually creates a problem, though, if your tenant moves out without notice. When that happens, since the utilities are under your name, then the company will ask you to pay for them. But, if the utilities are under your tenant’s name, then the company will track them down in an attempt to collect unpaid bills.

The Importance of Thorough Screening

Landlord tenant issues are often a source of frustration. The good news is you can avoid most of these problems with the help of a thorough tenant screening process. Bad tenants are usually the ones who pay rent late, violate rules, leave without paying for utilities, and make a lot of noise. A thorough screening process, though, will allow you to weed out the bad eggs.

Tenant screening, along with handling maintenance requests, collecting rent, and keeping up with the law, can be a difficult and time-consuming endeavor. Start looking for a property management company that can assist you with your landlord duties. Use our online directory in your search for the best one in your 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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The Pros And Cons Of Tenant Screening Services

Posted on 2019/08/262022/05/25 by melissa

The tenant screening process is essential, but it can also be very time-consuming to conduct comprehensive tenant credit and background checks. As such, many landlords turn to tenant screening services for more expedient evaluations. Before you try it out for yourself, consider the pros and cons of tenant screening services.

How to Screen Tenants: Do You Need Tenant Screening Services?

Tenant screening is the process by which landlords or property managers evaluate prospective clients on their capacity to meet the lease agreement. Through this tenant verification and evaluation process, landlords can double-check the information listed on a prospective tenant’s rental application form to see if it is true and accurate.

Why Do You Need a Background Check for Renters?

A tenant background check can tell you whether a prospect has the capacity to pay rent on time, follow tenant rules and regulations, and take care of your rental property. Here are the standard items included in a tenant screening report and why they are important.

Copy of ID: Each applicant submits this for identity verification.
Income: A tenant’s income must be able to cover monthly rent payments. Most landlords require tenants to have a 3:1 income-to-rent ratio or rent should be 30% of gross income.
Employment History: A landlord should check if a tenant has a stable employment history. This ensures that a tenant has a steady source of income for rent payments. It’s important to also ask for their current employer, job description, and employment references.
Credit Report: A tenant credit check is a crucial part of the screening process. You may decide to accept or deny an applicant based on their credit score. If their credit score is not strong enough (below 650), landlords may decide to ask for a higher security deposit or require a cosigner for the lease agreement.
Criminal Background Check: A tenant background check also checks if an applicant has a criminal record. While landlords must not have discriminatory screening practices, knowing an applicant’s criminal history can tell you about their ability to pay rent on time or whether they might pose a security risk for your building or other tenants.
Rental History: The screening process helps determine how an applicant will be as a tenant in your property. As such, it’s important to look at their rental history. One of the most important things to look for is previous evictions. A tenant who has been evicted once may have a higher risk of being evicted again.
Landlord References: Talking to an applicant’s previous landlord can reveal a lot of useful information such as late payments, lease violations, complaints from other tenants, and cases of property damage.

Pros of Tenant Screening Services

Landlords know the importance of conducting comprehensive tenant background searches. However, this screening process can be very tedious and time-consuming, especially if you are evaluating a lot of applicants. Here are the pros of tenant screening services for landlords:

Quick and Convenient

A tenant screening service can deliver your results in a matter of minutes. You’ll get the information you need to properly assess the background and financial capability of a potential tenant. It’s also very convenient as everything is done online. Landlords just have to enter the details and they’ll get a report within minutes.

More Efficient Tenant Screening

With a tenant screening service, landlords can approve or deny applications at a much faster rate. As you’re able to screen more applicants, you have a much better chance of finding quality tenants and avoiding bad tenants.

Consistent Screening Process

A tenant screening service uses the same procedure for evaluating your applicants. As such, when you deny applicants, they won’t be able to accuse you of employing screening practices that are discriminatory or go against the Fair Housing Act.

Low-Cost

Most tenant screening services offer bundles or charge on a per report basis. This is more cost-effective than a subscription-based service. Some also offer different tiers or packages based on the extent of the background check. Landlords won’t have to spend more than they have to. Just keep in mind that you’ll also get what you pay for.

Cons of Tenant Screening Services

When deciding on a professional tenant evaluation provider, here are some potential risks to consider.

Higher Risk for Errors and Inaccuracies

While instant tenant screening reports are convenient, there’s a potential disadvantage to it as well. In order to deliver quick results, tenant screening services use automated programs to compile information about your prospective tenants. Most databases have errors that automated programs cannot detect. As such, there’s potential for your tenant screening report to have errors or inaccuracies, especially since there’s no one to double-check your report.

Lack of Personal Touch or Qualitative Data

Another potential issue with tenant screening services is that there is a lack of personal touch. Since a machine is compiling the data, it may miss out on qualitative data that would be easily discovered with a hand-compiled report. For instance, an automated report can tell you how many evictions a tenant has had, but it may not tell you why these evictions happened.

Tenant Involvement

A lot of tenant screening services have tenant involvement. The service uses an applicant’s email address to obtain and verify personal information. However, not all tenants will complete these requests. There are many reasons: laziness, lack of time, or in some cases, they won’t even see the email request. If the applicants don’t complete the process, you won’t get your report.

Issues with FCRA Compliance

The Fair Credit Reporting Act (FCRA) aims to protect the rights of prospective tenants, particularly when it comes to using their private information for a background check. They have a right to dispute inaccurate, incomplete, and unverifiable information that may be included in a tenant screening report. If a tenant screening service is not transparent with its practices, you cannot be sure if they are complying with the FCRA or not. If there are compliance issues, you could end up being reported or sued by your applicants.

Lack of Customer Support

A lot of tenant screening services do not offer customer support. Even if they do, the level of service might be questionable at best. As a result, landlords may have a hard time following up on the information contained in a tenant screening report. If you are left with lingering questions, you may end up with issues with prospective tenants including disputes and compliance issues.

Is There an Alternative to Tenant Screening Services?

For landlords who simply have no time to perform comprehensive background checks, a tenant screening service is the best alternative. However, it’s important to remember that not all tenant screening services are the same. For instance, you cannot really expect much from free tenant screening services or those that charge a very low price.

In order to protect yourself from potential liabilities, make sure to choose the best tenant screening services. Practice due diligence when searching for a tenant screening service. Learn about how they perform background checks and what information will be included in the tenant screening report. You may end up paying a higher price, but you have better peace of mind knowing that the tenant screening report is accurate.

On the other hand, if you want a more personal tenant screening process, you can also consider partnering with a property management company. They will have the expertise to conduct a thorough background check. If they won’t do it personally, they will still have a network of the best tenant screening services. With this option, landlords can be confident with the quality and content of their tenant screening reports. A property manager can also be invaluable when it comes to the day-to-day operations of your rental property.

Tenant Screening Services Can Make Landlords’ Lives Easier

Landlords should take the time to find the best tenant screening service. If a tenant screening service leaves you with more doubts and questions, It’s probably not worth it. Make sure that you find a reputable company so that you can enjoy all the benefits and not have to worry about the potential risks or issues mentioned in this article.

If you need help finding tenant screening services in your area, feel free to browse the Rental Choice online directory. You can find top-rated property management companies that can guide you through the entire tenant screening process.

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How To Find Tenants That Are Reliable And Trustworthy

Posted on 2019/08/262022/01/27 by melissa

Perhaps one of the most difficult parts of managing a rental property is learning how to find tenants — and not just any tenants, but good tenants. Luckily, you can land high-quality tenants by adopting a few key practices.

How to Find Tenants for Your Rental Property

With 43 million renters in the United States, it’s clear that the rental market is a lucrative one. But, after investing in a rental property, you can’t simply expect a tenant to fall into your lap. As a property owner and landlord, it’s your job to find a tenant. Oftentimes, that means weeding through a sea of bad tenants just to find a good one.

What do most landlords look for in tenants? The number one quality that most landlords look for in a tenant is someone who pays rent on time and in full. But, you also want a tenant who takes care of your property and behaves like a good neighbor. In short, good tenants follow the terms of your lease.

While listing down your must-have qualities in a tenant is one thing, finding good tenants is an entirely different battle. If you have never experienced the search process before, you’re most likely asking yourself, “How do I find the best tenants?” The answer, though, involves more than one action. To find renters who are reliable and trustworthy, you often need to go through a series of steps — from advertising your property to tenant screening.

Here is your guide on how to find good tenants:

1. Improve Your Rental Property

If you want to attract great tenants, you must first have a rental property worth their time and attention. You can’t land good tenants (or even bad tenants) if you have a poor-looking property. That means swapping out old carpets with new ones, repairing or replacing run-down appliances, and applying a fresh coat of paint. Your property could also use a thorough cleaning, especially before you take listing photos or a property showing.

2. Advertise Through the Right Channels

How do I find a prospective tenant? A surefire way is to advertise through the proper channels. More often than not, you can find tenants online through real estate websites like Zillow, Apartments.com, and Rentals.com. These services usually cost a small fee per listing. Keep in mind that good tenants are probably not looking for rentals on Craigslist or other sketchy websites since they are a hotbed for scammers.

There are also other means of marketing your rental property. You can take out an ad in a local newspaper, print out and distribute flyers, or post your ad at community boards or local businesses.

Apart from tackling “the where,” you must also address “the how.” Namely, how do I advertise my property for rent? Your rental ad should include key details, such as the number of bedrooms and bathrooms, location, monthly rent, and any other special features or amenities worth mentioning. You should also include high-quality photos of your rental property.

3. Have Prospects Fill Out a Rental Application

You need to collect personal information from prospective tenants, and the best way to do that is through an application form. When creating your application form, make sure to ask for the following details:

Names of applicants
Prior addresses
Children’s names (if any)
Pet details (number of pets, breed, etc.)
Sources of income and amounts
Employer’s contact information
Previous landlord’s contact information
Driver’s license numbers
Social security numbers
Personal references

Some states allow you to charge a non-refundable application fee to pay for any background checks. This fee usually dances between $25 to $40. It’s also worth informing applicants about your rental policies upfront to avoid wasting time. For instance, if you don’t allow pets in your rental property, applicants with pets can simply move on.

The information you ask for on a rental application can be sensitive, so make sure to practice confidentiality and professionalism. Additionally, you must comply with the Fair Housing Act and any fair housing laws in your state.

4. Screen Your Prospects

Tenant screening is a critical part of how to find good renters. How do you screen a tenant? Screening a tenant usually involves checking their employment history, credit score, rental history, criminal history, and references. This background check will allow you to filter through your applicants.

You may wonder, “How do I find my tenants history?” You can use the information you obtained through the rental application form. There are many services that offer to check credit scores and criminal histories for a fee. You can also check their employment status and history yourself by contacting their current and past employers. The same goes for personal references — just make sure they aren’t family members.

To check rental history, you can contact the applicant’s previous landlords. Ask about the applicant’s behavior. What is considered bad rental history? It depends on the landlord. But, a tenant is generally considered to have a bad rental history under one or more of the following terms:

Consistently paid rent late (or not at all)
Committed lease violations
Left the rental property in terrible condition
Has been evicted

5. Require Renters Insurance

If you’re a property owner looking for tenants, renters insurance is a must-have. Renters insurance covers the cost of any damages your tenant might cause to your rental property. It also typically covers the cost of the renter’s belongings.

It’s imperative to let tenants know during the application process that you require renters insurance. This way, they can obtain renters insurance before moving in. On the day of the move-in, make sure to ask for proof that they have, in fact, obtained renters insurance.

6. Set Up a Meeting Before Signing the Lease

A face-to-face meeting with rental tenants will allow you to assess their personalities and behavior. You will be dealing with your tenant for a long time, so it’s important to get a feel of how they act prior to signing the lease. This meeting will also give you the opportunity to ask critical questions such as:

Why are they moving house?
How long do they plan to live in your rental property?
What are they looking for in a home?

When asking questions, always keep fair housing laws in mind. Never ask about or discriminate against applicants based on their race, color, national origin, sex, religion, familial status, or disability. Your state’s fair housing laws might also include other protected classes.

7. Ensure Payment Before Giving the Keys

It’s standard procedure to ask for the first month’s rent and a security deposit prior to allowing the tenant to move in. But, don’t immediately hand over the keys after receiving the checks for these payments. Make sure to wait until after the checks clear before giving them the keys to your rental property.

8. Don’t Settle or Rush Into Things

If you want to learn how to find tenants, you should approach it carefully. Some landlords don’t want to spend time looking for tenants, but this can ultimately put you at a disadvantage. The tenant searching and screening process takes time, so you shouldn’t rush it.

It would also be unwise to sign with the first applicant that contacts you — unless they pass your screening process. Settling or rushing things will only increase your chances of getting stuck with a bad tenant for the entirety of your contract duration.

9. Trust Your Gut

While screenings are effective tools for filtering out bad tenants, they can’t judge a tenant’s character. When it comes to renting tenants, you should always trust your instincts. Even if a tenant passes your screening tests, you might feel that there is something not quite right about them. Plenty of landlords has been scammed by tenants who faked their identity during the application process.

10. Ask for Help

Finding tenants without an agent is certainly possible if you have the time and resources for it. But, more often than not, property owners have other priorities to manage.

There is no shame in asking for help either through a tenant service or a property manager. You can easily find a tenant service with a quick search online. These services specialize in finding a tenant for your rental property. If you want something more comprehensive, you might be better off hiring a property management company. A property management company manages everything about your rental property — from tenant screenings to rent collection.

The Bottom Line

Learning how to find tenants can be a challenge if you have never done it before. When it comes to the best way to find tenants for rental property, you can never go wrong by following these tips.

Start by improving and advertising your property to attract potential tenants. Once you have their attention, ask them to fill out an application form and then screen your tenants carefully. Always trust your instincts, and don’t be afraid to ask for help.

In need of a property management company? Find the best one in your location today using Rental Choice’s online directory.

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When Tenants Move Out: What Should Landlords Do?

Posted on 2016/06/282022/04/25 by admin

A move out checklist for tenants is imperative for a smooth transition. But, what does the move-out process even entail?

The Importance of a Move Out Checklist for Tenants

Some landlords believe that the process of moving out does not require a set of procedures. They would rather wing it than bother to follow a series of steps. But, this approach to a tenant moving out only invites disaster.

The primary purpose of a move out checklist for tenants to follow is to prevent any disputes over the security deposit. More often than not, when tenants move out without guidance, they end up leaving the property in a less-than-desirable condition. They might also inadvertently violate the terms of their lease. As a result, landlords have no choice but to deduct the cost of repairs from the security deposit.

Yet, some tenants will dispute the deduction. They will argue that the lease does not stipulate any provisions for moving out. To avoid this kind of debacle, a moving out checklist comes in handy.

Landlord’s POV: What to Do When Tenants Move Out

Seeing a tenant move out can be a sad moment for many landlords, especially if the tenant was a particularly good one. But, most tenants will eventually move out and on to another chapter in their lives. On their part, landlords should expect to complete the following steps to ensure a smooth move-out process.

1. Receive Proper Notice

Most state laws and lease agreements require tenants to give landlords sufficient notice before they move out. This is especially so if the lease is expiring soon, and the tenant does not intend on renewing it. The notice period can vary, though it generally falls somewhere between 30 and 90 days. For month-to-month leases, most states (such as California) require tenants to give at least 30 days’ notice.

2. Conduct an Inspection

Inspections take place when a tenant first moves in, on a routine basis, and when a tenant moves out. The move out inspection allows the landlord to check for any damages to the property that were not there when the tenant moved in. This usually happens after a tenant has removed all of their belongings from the rental property.

It is good to have a landlord move out inspection checklist handy. This way, landlords won’t miss out on anything important. The scheduled inspection also gives landlords and tenants an opportunity to check the property together. Then, they can discuss any damages that need repairing.

If there are damages, landlords must give tenants an estimated cost of repairs. The tenant can pay for this out-of-pocket or agree to have the amount deducted from the security deposit.

3. Ask for the Locks and Keys

Privacy and security are paramount for any tenant. As such, landlords must make sure to take back the unit’s keys and any other items that grant access to the property. After that, it is imperative that landlords replace the locks and update the security system. This way, the new tenant will feel at ease in their new home.

4. Send the Security Deposit

The last step in the process is usually to send the security deposit back to the tenant. While state laws can vary on this, landlords must generally mail the security deposit within 21 days upon the tenant’s returning of the keys. If the landlord does not intend to return the security deposit in full or at all, they must instead send an itemized list of repairs within the same time period. Keeping copies of the invoices and receipts for the repairs is also necessary.

Should Landlords Help When Tenants Move Out?

It is not obligatory for a landlord to help tenants move out of their units. The tenant is responsible for providing the landlord with proper notice and ensuring the property is free from any damages. The tenant must also coordinate with movers and remove their belongings from the unit themselves. While tenants generally have these responsibilities, landlords can help with the process by supplying their tenants with a move out tenant checklist.

What Is a Tenant Move Out Form?

Also known as a move out checklist for tenants, this form serves as a set of instructions indicating what the tenant should do if they decide to move out of the property. Landlords should attach this form as an addendum to the original lease contract. There is no catch-all format for this checklist, as landlords can have their own versions of the form.

Rental Move Out Checklist Template

Constructing a checklist from scratch can come as a challenge for many landlords. To help out, here is a sample move-out list for tenants landlords can use.

Please provide a written notice at least 30 days prior to your move-out date.
The move-out inspection will be scheduled after notice has been provided.
Upon move out, please ensure the following:
- The unit must be vacuumed and mopped.
- All bathrooms must be cleaned.
- The kitchen must be cleaned.
- All walls must be cleaned and painted the same color from when the tenant first moved in.
- All carpets must be vacuumed.
- The locks on all doors and windows must be functional.
- Lightbulbs must be replaced and working.
- All smoke detectors and carbon monoxide detectors must be working.
- The heating, plumbing, and electric systems must be functioning properly.
- All of the tenant’s belongings must be removed from the property.
- All keys must be returned to the landlord.
Notify the landlord of any issues or damages to the property.
To receive the tenant’s security deposit in full, all of the above items must be completed before the move out date. The cost of any repairs will be deducted from the security deposit. If the security deposit isn’t enough to cover these costs, the landlord will send the tenant a bill with an itemized list of repairs.

Worth the Effort

A move out checklist for tenants may seem like an extra bit of work for landlords. But, such a small action can go a long way in ensuring the tenant leaves the rental property in good condition. It also helps prevent any disputes over the security deposit.

For landlords who don’t want to oversee the move-out process, hiring a property manager is the best option. Search for the best property management company in your area today using Rental Choice’s online directory.

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Your Guide To Renting To Students

Posted on 2016/02/192022/04/21 by admin

Renting to students introduces several challenges that don’t typically come with renting to other tenants. Before you completely shun the idea, though, student renters do pose a handful of benefits.

The Benefits of Renting to Students

Tenants come in all shapes and sizes, but they are mostly the same in terms of the trials they present. College students, though, are an entire subcategory of their own. You might have heard about the headaches that come with renting to students, and those definitely have a basis. However, student tenants also offer several advantages, such as:

1. Fewer Vacancies

There is a high demand for rental properties among college students, especially those located in and around campuses. Each school year also sees countless new students entering college and finding nearby housing. This steady stream of tenants means you can look forward to a higher occupancy rate.

2. Location Benefits

Properties located in close proximity to colleges and universities have the added benefit of not spending too much on advertising. While a typical landlord might need to put up a lot of ads online just to get tenanted, those who own properties near schools usually only need to work half as hard. Additionally, if your property is surrounded by hot spots like bars and shops, you won’t have much trouble landing interested tenants.

3. Higher Rent

Just because you’re renting to students doesn’t mean you can’t charge a higher price. In fact, properties near college campuses tend to command higher rent than their counterparts. Of course, this doesn’t give you an excuse to charge sky-high prices. When determining rent price, you also need to consider a host of other factors, such as the price of rent for similar properties in your area.

4. No Upgrades Necessary

Because students tend to not have large budgets for housing, they usually look for more affordable options. This means you can get away with renting an apartment that doesn’t have a lot of amenities or upgrades. While other tenants might not want to rent an apartment with half a kitchen and no washer/dryer, students are less picky.

Keep in mind, though, that you still need to maintain the property and perform routine upkeep. You just don’t need to add upgrades like a nice kitchen backsplash, hardwood floors, or a bathtub.

The Disadvantages of Renting to Students

On the other hand, there are also drawbacks to renting rooms to college students. These include the following:

1. First-Time Renters

For students, it is usually their first time renting a place on their own. As such, they practically have nothing to show for it. They have no credit history, employment history, or rental history. You also can’t talk to past landlords or employers. All of these will make it significantly harder for you to screen them.

2. High Turnover Rate

All college students eventually graduate and move on to pursue careers. Usually, that also means moving away from the local vicinity. As such, you should expect tenants to come and go every four years or so.

Additionally, not all student tenants will renew their lease every year. Their housing situations are subject to change. They might suddenly move into on-campus housing or move in with a roommate somewhere else.

3. Property Damage More Likely

Most students don’t have prior experience when it comes to maintenance. As a result, they are more likely to leave the apartment in poor condition. In addition to ignoring or neglecting maintenance problems, students also like to throw parties. And, as most landlords know, college parties can be very damaging to a property.

4. Vacant During Summer

A big downside when renting to students is that tenancies are seasonal. The school year doesn’t last all year round and, come the summer months, your apartment will probably be vacant. A good way to avoid this problem, though, is to only agree to sign full-year leases. That means the tenant will still need to pay rent for the summer months even if they won’t be living there.

Can Landlords Deny Student Renters?

Considering the disadvantages of renting to students, some landlords might wonder whether it is possible to refuse them. The short answer, though, is no. Legally, landlords can’t pick and choose renters based on their age or any other arbitrary attribute.

Denying students simply based on the fact that they are students is a violation of the Fair Housing Act and certain state-level fair housing laws. As such, landlords should open their rental houses for college students to rent in addition to all other types of tenants.

Renting to Students Tips

First-time landlords might be dreading the idea of renting rooms to students. To help you out, here are some tips to make the job much easier to manage.

1. Accept Cosigners/Guarantors

Because most students don’t have rental or credit histories, you can accept consigners or guarantors to ensure rent is paid and damages are covered. Typically, their parents or other relatives will cosign the lease with them. Having a responsible adult cosign the lease may also encourage student tenants to be responsible with the property as well.

2. Require a Security Deposit

It is not uncommon for landlords to charge a security deposit. But, security deposits are made even more integral when renting to students. In addition to a security deposit, you might also consider charging a move-in fee. This fee will cover turnover costs such as cleaning, painting, and other restorations in between tenants.

3. Allow Roommates

Students don’t usually have high incomes, so it is normal for them to want to share rent with other students. While some landlords might feel apprehensive about renting to multiple people (since there are more tenants to manage), allowing roommates is a good way to attract student renters and make sure rent is paid.

Another option is to rent by the bedroom. This type of lease essentially breaks up an apartment into separate leases, renting on a per bedroom basis. Each student is responsible for their own bedroom, while everyone shares responsibility for common areas such as the kitchen and living room. With this type of lease, only the student or roommate who causes damage or doesn’t pay rent suffers the consequences.

4. Require Student Renters Insurance

Landlords have landlord insurance, so it makes sense for student tenants to have renters insurance, too. Requiring renters insurance, even for students, helps protect the tenant’s belongings in case of theft, certain natural disasters, and some cases of water damage. Renters insurance also typically covers injuries that occur on the leased property.

5. Inspect Frequently

Since students are more likely to cause property damage, you should schedule routine inspections more often. Frequent inspections will help you identify any maintenance issues early on. Then, you can address them before they turn into larger problems.

Make sure to always provide notice to your tenant, though, before you conduct the inspection. This is so you can avoid violating their right to privacy and quiet enjoyment.

House Rules for Renting to College Students

On top of all the tips provided above, it is also a good idea to work out some rules you want tenants to follow. Then, you should put those rules in writing by including them in the lease agreement. Here are some of the most common rules landlords enforce when renting to students:

Late Rent Fee. When a student tenant misses the deadline on their rent, you can charge a late fee (either a set dollar amount or a percentage of the rent due).
Quiet Hours. Student renters are known for being noisy, so it is smart to impose quiet hours to limit noise complaints.
Pet Policies. While not all students have time for pets, some actively look for apartments that allow them. As such, it’s important to lay down your pet policies from the very beginning.
Cleaning and Maintenance. If you want student tenants to keep your property clean and well-maintained, you should detail this responsibility in the lease agreement, too.
Guests. Some student tenants might allow their friends to crash on their couch for days, even weeks, on end. To limit this behavior, it’s good to have a policy on guests and how long they can stay.

The Bottom Line

As you can see, renting to students has both its pros and cons. And while you can’t legally turn down students for the sole reason that they are students, you can minimize the risks that come with student renters.

Don’t want to manage your own rental property? Find a property management company today with the help of Rental Choice’s online directory.

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Renting To Elderly Renters? What Landlords Should Know

Posted on 2016/01/142022/04/21 by admin

Elderly renters require special care and consideration. As a landlord, it is your responsibility to accommodate older tenants and make sure you’re not breaking any laws.

Understanding Elderly Renters Rights and Anti-Discrimination Laws

As a landlord, you will encounter all kinds of tenants, from student renters to military renters. A particular segment of the renter population, though, — the elderly — is often neglected, even though they are growing in number. As elderly renters become more and more prevalent, landlords are surely going to encounter them more often. But, as with military renters, there are special federal and state protections in place for senior renters.

Here are the most important laws to protect the elderly that all landlords must know about.

Fair Housing Laws

Among the laws protecting senior citizens, the federal Fair Housing Act is perhaps the most well-known. Under this federal statute, housing providers (including landlords) are prohibited from discriminating against tenants based on their disability. That means you can’t refuse an elderly tenant or treat them differently because of physical or mental impairment. You can’t ask them to provide medical records either.

Another big one is the Americans with Disabilities Act. If an elderly tenant is disabled, you have to make the necessary accommodations to make their stay more comfortable and accessible. For instance, if an elderly renter requires a wheelchair ramp to get inside the apartment building, you will need to have one installed at your own expense. For reasonable accommodations within the unit itself, though, the tenant will typically be financially responsible.

While the FHA and ADA both work at the federal level, many states and cities have enacted their own anti-discrimination and reasonable accommodation laws. For instance, the federal FHA does not include age as a protected class — though, broadly speaking, it can be considered under familial status. However, in some states and cities, age is expressly stated as a protected class. One example is New York.

Right to Terminate a Lease Before Expiry

It is imperative that landlords understand the different senior citizen housing rights to avoid getting into legal trouble. One such right has to do with terminating lease agreements.

Under some state and local laws, elderly renters have the right to cancel their lease early and without penalty. Of course, certain conditions would have to be met to allow this to happen.

For instance, in Connecticut, tenants who are 62 years or older can terminate their lease before its expiry if they are accepted into state or federal housing. But, they have to give their landlord written notice 30 days prior. The same goes for disabled tenants.

A similar law exists in New York. According to NYS Real Property Law Section 227-A, tenants aged 62 years or older who will enter an adult care facility can cancel their lease without penalty. The same law applies if the tenant will enter subsidized low-income housing or move into a relative’s home.

How to Accommodate Senior Tenants

There are some things landlords should consider when renting to elderly tenants, such as:

1. Obtain Emergency Contacts

When renting a room to an elderly person, it is crucial that you ask for the contact details of a family member or friend living nearby. This serves as their emergency contact. If something happens to the elderly tenant, you can quickly get in touch with someone who can assist them.

Of course, not everyone lives close to their family or friends. In that case, you may want to obtain the contact details of their personal doctor or their hospital of choice.

2. Improve Safety Measures

Senior renters are more likely to get into accidents because of mobility and optical issues. As such, you have to go the extra mile to improve safety measures. This means installing handrails on all staircases, wheelchair ramps, and even panic buttons. You may also want to consider installing security cameras in common areas. Because of the possibility of slip-and-fall accidents, you should also make sure floors aren’t slippery.

3. Account for Technological Challenges

Elderly renters are not always tech-savvy. As such, what other tenants might deem convenient may be challenging to navigate for elderly tenants. For instance, installing smart devices may not be so smart. While younger tenants may find smart devices a plus, older tenants may only find them frustrating.

Another technological challenge is the payment method you use. Because older tenants are not usually good with apps and software, consider accepting traditional checks in addition to online payments.

4. Keep Noise to a Minimum

Elderly renters tend to enjoy quiet evenings and peaceful mornings. Thus, the last thing they want is to live next to noisy neighbors. A good way to accommodate seniors is to impose noise rules. For example, have quiet hours from 9 p.m. to 7 a.m. Noise rules are not only good for your senior renters but also for all other tenants.

5. Allow Pets

Because older adults tend to live alone, they like the company that pets bring. Pets bring comfort to people, both in the physical and emotional sense. As such, consider allowing pets in your rental property.

Of course, pets still pose certain risks, so it is a good idea to allow pets but impose pet rules. For instance, you might restrict the type or number of pets tenants can keep. You can also require tenants to pick up after their pets and keep them on leashes when outside of their leased units.

6. Expect Late Rent

Many seniors use their social security and pension to pay for their living expenses. But, these benefits don’t always arrive at the start of the month, which is when you would typically collect rent. As such, don’t be surprised if elderly renters are late on their rent more often than others.

7. Be Considerate

Beyond just complying with the housing laws of elderly tenants, it is vital to be considerate of them in general. Don’t immediately jump to eviction proceedings when an older tenant is late on their rent. There might be a problem with their SSI check or pension benefits. They could just be forgetful, as is the case for a lot of senior citizens.

If an elderly tenant is consistently behind on rent, you may want to help them look for a new home instead of deciding to evict them. You can also help them apply for aid from local charities.

Additional Considerations When Starting an All-Seniors Apartment

If you’re interested in starting an all-seniors apartment, there are two other considerations you must make in addition to those mentioned above.

1. Location Matters

Before purchasing a rental property, think about the location. Convenience is important to senior renters, so look for a place that is close to a lot of necessities and amenities. This includes grocery stores, pharmacies, and hospitals. A good location will not only benefit seniors but can also attract elderly renters.

2. Prioritize Accessibility

Accessibility is paramount when renting to senior tenants. When looking for or building an all-seniors rental home, prioritize wheelchair ramps, handrails, and panic buttons. You may also want to install stairlifts or elevators to make it easier for the elderly to get around.

Steer Clear of Legal Trouble

When renting to elderly renters, landlords should familiarize themselves with all applicable laws and considerations. This will help you avoid legal liability, which can result in hefty penalties.

If you need professional assistance managing your rental property, a property management company is the best choice. Start your search for property management companies in your area using Rental Choice’s online directory.

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Tenant Not Paying Rent And Won’t Leave? What Can Landlords Do About it

Posted on 2015/06/122022/04/21 by admin

One of the biggest problems any landlord can face is a tenant not paying rent and won’t leave. When this happens, it can seem like the only recourse you have is to take matters into your own hands. But, that will only land you in trouble with the law.

How to Handle a Tenant Not Paying Rent and Won’t Leave

Every once in a while, a landlord will encounter a really bad tenant who stops paying rent altogether yet won’t leave the leased property. Considering there are only a few acceptable reasons for not paying rent — such as a landlord overcharging the tenant or an apartment deemed unsafe — landlords generally have the upper hand when tenants fall behind.

Initially, it can seem as though your options are scarce. But, there are actually a handful of possible remedies you can carry out.

1. Sit Them Down

If this is your tenant’s first time being late on rent, you might want to sit them down to find out what’s wrong. They might be going through a tough time right now and need a few more days. It is a good idea to do this either over the phone or face-to-face in a public place. Things can quickly get confrontational, so you want to make sure you’re in a safe space.

Be careful about making more than one phone call or meeting, though. Harassment is not included in the list of what to do if your tenant does not pay rent. And, if you pester them too much, a court may find you guilty of it.

2. Send a Pay or Quit Notice

Landlords should know what to do when a tenant does not pay rent. Among the first recourses you have is to send them a notice of late rent. While this might work on some tenants, others will remain steadfast in their non-paying ways. In that case, the next notice you should send is a pay or quit notice. Essentially, this gives the tenant a chance to settle their unpaid rent or leave the property.

Sending your tenant a pay or quit notice shows them that you’re serious about taking legal action. After all, sending this notice is usually the first step when evicting a tenant. You can deliver this notice in person, though it is better to also have it delivered via certified mail. This way, there is proof that the tenant received the notice.

What should a pay or quit notice include?

Your intention to evict the tenant if they don’t pay
How much your tenant should pay (including any applicable late fees)
When they must settle their debt by

While you can find pay or quit notices online, it is a good idea to seek help from an attorney. Your attorney can also brief you on the laws in your state or city when it comes to eviction proceedings. Some jurisdictions require landlords to follow certain procedures to qualify for an eviction.

3. Go for a Cash for Keys Exchange

Some landlords might feel like a cash-for-keys setup puts them in a terrible spot. After all, does it make sense to pay someone who already owes you money just so they would pack up and leave?

But, offering cash for keys is a common practice among many landlords. It is also a simpler (and, sometimes, cheaper) alternative to evicting a tenant. If you want to know how to get rid of a tenant not paying rent, consider a cash-for-keys exchange. Just make sure you and your tenant put this agreement in writing.

4. Start Eviction Proceedings

Can you be evicted for paying rent late? The short answer is yes. Nonpayment of rent is perhaps the most common cause of eviction among landlords and tenants. Usually, it begins with the landlord sending a pay or quit notice (explained above).

If the tenant still doesn’t pay their rent or leave the premises, eviction proceedings can officially begin. State laws vary on when you can start the process. For instance, California law gives tenants 3 days in between the notice and the initiation of eviction proceedings.

Filing an eviction, though, is not as easy as it seems. You will need an attorney to help you prepare everything, including all supporting documents to prove your claim. Attorneys don’t come free, but they are worth the money since they already know the eviction laws in your state or city.

Can Landlords Use Self-Help Methods?

What if the tenant refuses to pay rent? Can landlords take action on their own?

It is generally not recommended that landlords use self-help eviction methods. Self-help is when a landlord regains possession of a leased property without going through the proper eviction channels. This can include changing the locks on tenants (i.e. locking them out of their apartment) or removing a tenant’s belongings from the property.

Self-help is illegal in most states and cities, so using it to get a tenant out can put you in legal trouble. You could find yourself paying thousands of dollars in actual and punitive damages.

The best course of action is to evict the tenant legally. If a court rules in your favor and the tenant still refuses to vacate the property, leave it to local law enforcement to physically remove the tenant. Even with a court order, self-help (such as removing a tenant’s belongings yourself) is still not advisable.

How to Recover Delinquent Rent

By the time you have successfully evicted a tenant, they would have likely accumulated months’ worth of unpaid rent. Is there a way you can recover any or all of these?

Sue the Tenant (or Ex-Tenant)

There are two instances wherein a landlord can sue a tenant for unpaid rent:

A tenant breaks a long-term lease before its expiry and defaults on rent payments
A tenant with a month-to-month lease vacates the property without giving proper notice

What happens if you don’t pay rent and move out? Even if a tenant moves out, a landlord can still go after them for unpaid rent. Again, you can do this by filing a lawsuit.

Turn to Insurance

Most standard landlord insurance policies don’t cover unpaid rent. But, if you purchased rent guarantee insurance, your provider may cover up to 6 months’ worth of rent per year.

Eviction Most Likely

A tenant not paying rent and won’t leave is one of a landlord’s worst nightmares. These tenants are typically stubborn and hard to deal with. While you might be able to get them to leave by sending them a notice or offering cash for keys, most cases end with eviction.

Do you need help with collecting late rent and evicting tenants? Turn to a property management company today. Start your search for the best one in your area using Rental Choice’s comprehensive online directory.

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