Owning a rental unit can be a profitable business. However, the success of the business depends in large part on the extent to which you, as the landlord, can minimize or avoid common mistakes landlords typically experience while selecting tenants and/or managing a property. Here is an overview of some of the most common errors made by landlords during the course of the landlord tenant relationship.
Inadequate Screening
Attracting quality tenants requires the landlord to undertake a comprehensive screening process. The process should include verification of the tenant’s income and credit, a thorough background check, and discussions with previous landlords regarding whether the tenant has complied with his or her financial and legal obligations in previous landlord-tenant relationships. Landlords should make sure to make documentation a priority by keeping current records of all tenant information. Doing so will generate responsible and trustworthy renters, which is essential to a healthy and profitable landlord-tenant relationship.
Failure to Communicate
Communication is key in any relationship and a lack of communication between a landlord and their tenant is one of the biggest mistakes a landlord can make. It’s important to check in with tenants on a regular basis and to be available and attentive to tenant needs and reasonable requests. Communication also gives a landlord an opportunity to get to know their tenants and show that they care about their well-being. A landlord should also make sure that there are always multiple ways to get in touch with the tenant, including in person, by phone, email, text, or online form.
Failure to Comply with Anti-Discrimination Laws
Another common mistake landlords make is not being mindful of discrimination laws. Unknowingly or intentionally discriminating against potential tenants based on race, color, religion, national origin, gender identity, sexual orientation, disability or familial status can result in hefty penalties and a waste of valuable time and resources. Landlords should know about Federal and State discrimination laws, like the Fair Housing Act and the Americans with Disabilities Act. Landlords should also use the same criteria to judge each potential tenant. Treating everyone with dignity and respect is also essential when selecting a tenant.
Failure to Read and Understand Local Ordinances
Many landlords comply with California State Laws, but they neglect to comply with local ordinances that specify the procedure for raising rent, and properly evicting tenants. In the Bay Area cities like San Francisco, Oakland, Berkeley, San Jose, and Mountain View there are specific ordinances that govern landlord tenant law. Landlords need to be mindful of the “just cause” eviction protections available to renters in many cities and counties throughout the state. Failure to abide by to these ordinances can subject the landlord to civil liability and also frustrate their attempts to remove the tenant from the premises.
Failure to Provide a Safe Environment
In virtually every state, landlords are charged with the legal responsibility of keeping renters safe from dangerous conditions. This includes keeping the property safe from criminal activity. As a landlord, you have a legal duty to make inspections, inform tenants (and anyone legally entering the property) of hazards that exist on the premises and take reasonable measures to ensure the safety of tenants. Complying with these mandates requires landlords to act right away when becoming aware of an unsafe condition.
Entering the Premises Unannounced
A tenant always has a right to privacy. In most states, including California, a landlord shouldn’t enter a tenant’s rental unit without first giving a minimum 24-hour written notice. A landlord can enter (after giving notice) when they show the unit to a prospective tenant, make a repair, or inspect the property. It is unnecessary to provide notice when an emergency occurs, such as a fire, burst pipe, medical emergency, or domestic violence situation.
Keeping Security Deposits
Almost all lease agreements require a tenant to pay a security deposit to cover damage caused by the tenant. Depending on the wording of thew lease agreement, this money can also cover missing rent if a renter does not pay. After a tenant moves out, a landlord can use the security deposit to fix the damage caused by the tenant. A landlord, however, must provide an itemized statement of the charges to the tenant within 21 days, and promptly return any unused portion of the security deposit. A failure to comply with these duties subjects the landlord to potential liability for resulting damages, penalties and court costs.
Please contact Lynx Legal with any questions regarding the above, or to discuss any issues relating to a contemplated eviction of your tenant. We can be reached at 888-441-2355 or [email protected]. You can also schedule a free telephone consultation with one of our representatives on our website. Our experienced professionals are standing by to assist in any way we can.