Landlord tenant laws, landlord tenant laws. No the rules know everything that you need in regard to being a property manager having a property management company or even just flat out you an investor and you have properties. laws pertaining to rental housing are actually established to protect both parties in regards to the landlord tenant relationships, knowledge of having the compliance in regards to federal state local regulations is extremely important for both the landlord as well as the tenant. Now keep in mind that you would be considered the landlord if you are the property manager, because now you basically are taking ownership of the property in place of the landlord. However, the actual landlord investors still needs to understand these tenant laws that rental property owners want to be able to run a profitable business and protect their assets and their investments. Tenants want to live in a peaceful enjoyment property, rental home as well as protect their personal rights and their assets that they had there.
So just know as a property manager, a landlord or realtor an investor, I'm just saying you're wise and legal obligations will help you protect yourself, your rental investment business, as well as your investment property. landlord tenant laws change often so it is an extremely good idea to always reevaluate the rental business policies and seek legal counsel for someone that has permeated with the landlord tenant laws in your state in order to proactively address these issues before they're too late. And the reason why I says seek legal counsel from someone's for me with the landlord tenant laws because you want to get an attorney who's a real estate attorney real estate investment attorney who understands real estate in emphasize in debt, a lot of Real Estate Attorneys I'm sure a lot of attorneys will say they understand real estate Unfortunately, they are family law attorneys. They are male practice attorneys.
They are, you know, litigation attorneys, but they are not real estate attorneys. So you must get an attorney who's not only a real estate attorney, but who's a real estate attorney who understand the landlord tenant laws. landlord tenant laws understanding landlord tenant laws extremely important when it comes to property manager. Now even though we slightly discussed this somewhat, just real briefly Enjoy your roles as a property manager. I'm going to discuss a little more in detail here as far as the federal landlord tenant laws, state laws and landlords legal responsibility, and overall just how do you make sure you protect your assets? Whether you're the real estate property manager or the real estate investor, the major federal laws that affect all landlords and property managers are the Fair Housing Act in the Fair Credit Reporting Act.
The Fair Housing Act prohibits discrimination due to race, color, national origin, religion, sex, may status, or disability. The Fair Housing Act extends beyond leasing to include advertising, preventing landlords from marketing their properties to a certain group of people. This just basically means that if you have a property, you cannot say, I do not rent to college kids have a two bedroom for rent, but gay couples are not welcome. I this is this property is located in an Indian community. You cannot do that. And I emphasized that before as knowing your roles as a real estate property manager.
This is a huge issue in regards to Fair Housing Act, and is all in can be considered steering. The Fair Credit Reporting Act dictates the way in which a landlord may use attendance credit for screening purposes. Under this act, a lender must get an applicant's permission to run a credit report, provide information on the credit reporting agency use and inform the applicant information contained on the credit report was the basis for denial or Evers actions. state laws state laws regarding rental properties. Tenants rise typically khazars practical matters. These include things like the rights and responsibilities of tenants and landlords, what terms and conditions can be set apart of a lease, lease termination guidelines and how evictions must be handled.
State laws can also dictate how much a landlord can charge for security deposits, how those funds can legally be handled and how property managers must use Trust accounts for rent to incomes, and which we discussed that also earlier in regards to trust accounts. It is very important to become familiar with landlord tenant laws specifically to your state and city. ignorance of the law is no excuse and you can be sued for not obeying these laws, even if you was totally unaware of their existence. So, let's dive into deep details as to things that you should not ignore as a property manager or even as an investor. It is extremely important to understand legal responsibilities when it comes to the landlord tenant laws. For example, discrimination, whether you're advertising the property screen new tenants or setting rules, make sure that you are in compliance with fair housing laws and that any action All Policies apply to everyone with supporting documents and cannot be construed as affecting some people but not others.
So make sure you always everything should be exactly identical. If you asked me for two years of verification of employment, the next person should have two years of verification of employment. If you ask him for 700 credit score with one person, it should be 700 credit score with the other. So under no circumstances it should be different legal lease document, providing a lease agreement and any other legal paperwork is all a part of a landlord's duty. If your responsibilities to ensure the rental contract is legally written and abide by all laws, leasing periods, monthly rental rates and tenant thing must be clearly indicated on the lease and any disclosure identities that are attached to it. In some jurisdictions, legal disclosures such as security deposit Details must be included.
The lease should also contain all the appropriate clauses such as advising tenants to purchase renter's insurance disclosures. Many state requires landlords to 14 is too important state laws, individual landlord policies or facts about the rental, either in the lease agreement or in another form of writing such as the disclosures, typically before the tenant moves in. Federal law requires landlords to disclose lead based paint and hazards to tenants. Every state has different requirements, but common disclosures may need to be a part of your lease agreement. This also could be something such as a notice of Mo, notice us sex offenders recent deaths lead based paint disclosures, met, determination or personal or potential basically help with safety hazards But you always want to make sure you keep your disclosures pretty much not only standard but enough information whereas you as a landlord or property owner or property manager cannot get sued.
Providing a safe environment. Another obligation is to make sure that your rental unit is in a safe and habitable condition. The property must not have any serious deficiencies, and any supplied appliances, fixtures, plumbing and heating must always be in good working order. The property must be free of incessant pest. landlords are generally responsible for getting infestation under control, even if they occur after tenants have moved in all the way most days landlords can avoid this step by specify in the rental agreement. That pest control is the renters responsibility.
And that's why it's made is very important to make sure that not only your lease is spelled out Is importantly, but you have the appropriate disclosures and attendance and make sure you're not just giving them these disclosures and identifiers, but they're assigning them and initially next to the appropriate paragraphs that is applicable to your property. Overall refusal to make repairs, tenants have the responsibility of reporting any repairs that needs to be done. Landlords responsibilities include responding to these reports, and completing repairs in a timely manner attended may be within their rights to withhold rent money. If a landlord fails to make repairs that affects the health and safety of a tenant like a broken heating unit and freezing temperatures, then that particular tenant can actually withhold money within their right. Now if there are certain repairs, such as a hole in a wall, and this is not of course obviously normal when Tear, then yes, you can refuse to make a repair.
But if their particular damage to the hole in the wall can be something that is considered as a safety hazard as a landlord or property manager, you do make that repair, but it's highly suggested that you make sure you let them know that they are responsible for the damage that they've called. Because that damage that they've called again is causing your client your investor more money and in keeping security deposits. Most lease agreements require a tenant to pay a security deposit to cover damage caused by the tenant or if a tenant does not pay rent. a landlord can only keep security deposit funds that are used to cover default rental payments for fixing property damage. a landlord must provide the tenant with an itemized list of deductions and must pay the balance of the deposit back to the tin in the fall. Have a landlord to provide an itemized statement, or the failure to return the unused portion of the security deposit can actually result in the landlord owning more than the security deposit funds.
So as I was indicating, in the property management one on one resource tools, when you use an actual property management, website or platform, it will automatically keep track of things such as repairs that are made to a particular unit, such as fees that you're charging to that particular tenant. And why this is important to you because when it is time to go ahead and potentially release the security deposit, you're able to give them an itemization of all of the deductions that they are responsible for which in return will let them know what the actual security deposit to be returned to them should be minus one The interest was the hate occurred from the years that they lived at their property. Now disregard of privacy. Most landlords 10 attendance laws protect the tenants rights to quiet enjoyment, meaning they have the benefit of living in a home without being disturbed.
Once the tenant has possession of a property the landlord may not interfere with his rights is therefore the landlords responsibility to ensure he or she does not enter the rental unit without proper notice. That is usually 24 to 48 hours except in emergencies. When a landlord enters the rental property, it must be within a reasonable time of day and for that reason, the only time you can enter a property that's under the 24 to 48 hour notice is because maybe there is a flood going on elite going on, whereas you have to get in there because it's going to damage another unit. Maybe there's smoke coming out of the apartment because nothing necessarily somebody left something cooking but it can be any electrical fire. You know anything of those natures, but those are reasons why the landlord can't enter without notice. Miss handling abandoned property.
When a tenant leaves items behind after vacating the property the landlord must treat it is as an abandoned property. So as an abandoned apartment rental, the landlord must notify the tenant of how to claim the property, the cost for the storage where to claim the property, and how long the tenant has to claim the item. If the property remains unclaimed, and it is worth more than a certain amount, the landlord may sell the property at a public sale. If the property is worth less than the state specified amount, the landlord may either keep the property or throw it away. Allowing criminal acts to take place. If a lemma becomes aware of any criminal activity taking place and one of their rental units, they must report it to the authorities.
Illegal tenant activity could involve drug use or distribution, or a much worst case, a lender is typically responsible for protecting their property. They're responsible for protecting the neighbors away from any type of criminal acts that their tenants could be held liable for, in regarding to legal punishments, especially on the property safety features. If your property is in an area in a jurisdiction, whereas you have safety issues, you can get fined for landlord must provide specific safety benches. These may include fire carbon monoxide detectors, fire extinguishers, front door of the property a security door. These things are extremely important from people's to get both locks on exterior doors and window law locks. This is a month Miss handling of evictions and its handling of evictions is something that happens very often.
Under no circumstances as a landlord. You should evict anybody without calls. evict a person because you're upset, evict a person without warning and evict a person without giving them proper notice or anything like that. So mishandling of evictions. When it comes to an eviction. This is legal action by a landlord to remove a tenant from a rental property.
Every state has lost their regulated business. process, a landlord can evict a tenant for the non payment of rent for the failure to vacate the premises after the lease has expired, for violation of a provision in the rental contract, and which also could be a violation in the renter disclosures or the widow identities, or if the tenant causes damage to the property and it is a result of substantial decrease in the value of the property, as well as of course, breaking laws, any criminal activities. These things can be called for an eviction. But before you throw out a tenant, a lender must go through the liw eviction process. Every state has different guidelines. But most importantly, you must be required to give the tenant a termination notice before filing an eviction lawsuit.
If the landlord attempts to remove the tenant without a court order, the tenant may actually recover damages from the landlord. Now one of the other big landlords legal responsibilities as far as just understanding the landlord tenant laws. This is also the nuisance abatement, the nuisance abatement is growing within a policing code enforcement. The terms refers to using building calls fire calls, Zani in excetera in order to improve the quality of life and resolve life safety issues within the community within your neighborhood. nuisance abatement programs are most often a component of a problem oriented or community policing program, in most jurisdictions by law enforcement officers handles nuisance abatement. So nuisance abatement is examples of constantly turning the music up loud whereas the neighbors don't have a peaceful enjoyment.
They're home of where they live. This is a Bateman can also be loitering whereas there's a situation of you're constantly loitering and is becoming disruptive of quiet enjoyment for the neighbors, not just the property itself but the neighbors. These are also things not only calls when eviction, but the police actually can get involved when it comes to nuisance abatement. So the one of the most important things in regards to real estate property management is again understanding the landlord tenant laws and understanding everything that you need to know in regards to state laws and legal responsibilities and federal state laws for tenants. Now the landlord tenant laws Fair Housing Act. Some people consider it is what they call the Equal Housing opportunity.
Whereas it is illegal to discriminate against any persons because of the race, color, religion, sex, handicap, familial status or national origin. This also can be known as illegal blockbusting. This particular Fair Housing Act is also not just for the rental and leasing of properties, but for the sales of properties also, as well as financing homes. Now to protect yourself as a property manager or property management company, you need to understand and comply with the laws regarding fair housing, commonly known as the Fair Housing Act. Keep this in mind this art this. This lecture briefly addresses how the Fair Housing Act may apply to your rental property and your property management company.
Now, what is the Fair Housing Act? The Fair Housing Act is intended to prevent discrimination against renters. The goal of the Act is to provide a housing market in which parts Raised religious affiliation, disability, or family status does not influence the person's ability to find housing. Specifically, the act prevents landlords from refusing to rent to a person because they fall into a certain group. Or indicating prefaces for tenants in a certain group or category, or threatening or coercing individuals seeking housing, meaning you're steering them, you're telling them where they should live because of a ethnic group or because of a disability or because of their sex preference. What can you do to help ensure that you as a property manager, property management company, are always abiding by the acts?
Well, let's just be honest, you should always have a written rental policy detailing the criteria necessary for Provo to live in the property for approval to be able to become a tenant and get approved into living into the property. You cannot choose attendance or schools. 10 is on the basis of their female status, race, disability, religion or factors other than their credit history and references. Now, if you notice that we've talked about this so many times during the property management lectures, reason being is because this can actually kill your business and get you sued if mediafire of your property manager, and if you are a property management company, get you sued and loss of business. When you are choosing new tenants, make sure you basically treat everyone the same exact way. Don't pre screen applications, or assume that certain people will not be good tenants.
Do not exercise any form of bias or practices for certain types of renters. For example, if you're advertising do not state that you prefer older tenants offer the same terms and purpose wishes to each and every person who is a prospective tenant. Now, the only way you can get away with renting to older tenants is unless is specifically a senior citizens community such as this is the same this is a 55 and up community, if it is not saying that you cannot discriminate as to who you are trying to rent, rent to, under no circumstances, you need to treat all visiting prospective tenants equally, show them the same areas of the property or apartment and give them the same information, set rules for your properties but ensure that those rules do not discriminate. Be willing to make a reasonable accommodation for those who neither went through disability or otherwise.
So when I say treat all of your visiting prospective tenants equally, you showing them the same areas. Don't assume because you see an individual in a wheelchair. They don't want to see the apartment on a second. floor, I understand that you may feel that they can't get on the second floor. But if there's reasonable accommodations there, whereas maybe there's a ramp in the back of the building, maybe you can have someone there to assist with taking a person upstairs. In the end, don't assume that you can't rent to them because they in a wheelchair, you don't know what they're they're going to have a full time caretaker, a full time homemaker who's going to be there.
Whereas this person is pretty much home now. They don't need a first floor unit. So you can't say, Well, I can't rent to you because we don't have any apartments available. Yes, you do. So I'm saying second floor. So if you need to make reasonable accommodations, you have to make reasonable accommodations for those that need them.
Make sure you remain committed rebaiting for me with fair housing legislation, it is important to you that you are complying with all housing legislation, not just the Fair Housing Act, but be aware that Many cities, state counties, village villages and towns they have an all fair housing laws, which may apply to more types of situations or cover great number of properties, then FHA does. There are many rules that apply locally to assure that you treat your property equally and you treat your tenants and prospective tenants equally, you must ensure that you follow the tenant selection action plan. If you don't have one, you need to create one. But one of the reasons why this is important, and this is something that HUD has come out with the US Department of Housing and Urban Development, because there has been so many times that individuals have felt like that they was being steered away from moving into a particular community or particular development.
If you want to understand and know more about about, you know the fair housing laws, please visit the US Department of Housing and Urban Development, their website. It will give you much more information on it. And also they have some time classes that you can online, but under no circumstances as a real estate investor, a realtor Partner Manager property management company, should you be breaking these laws you must abide by the laws of the Federal fair housing law.