Congratulations: you are now a landlord in the eyes of the law if you possess real estate and decide to lease it out to someone else. Whether you’re renting out a single-family house or flats in a multiplex complex, you’ll have a lot of landlord responsibilities.
Some responsibilities appear obvious, such as collecting rent or finding renters for an empty unit. Others, on the other hand, can be less visible. The more you know, the more successful your real estate investments will be. Let’s look at ten obligations as a landlord that you may have missed.
1. Knowing the Landlord-Tenant Laws for Your Jurisdiction
Ignorance of the law is not an acceptable justification. As a landlord, it is your job to be aware of and comprehend all tenant-landlord laws in your city and state. Landlords can be sued if they don’t follow their state’s laws, even if they aren’t aware of them.
2. Preparing a Legal Lease Document
A landlord’s responsibilities include the lease agreement and any other legal papers. It is your responsibility to ensure that the rental agreement is lawfully written and complies with all applicable laws. The length of the lease, the monthly rental fee, and the names of the tenants must all be clearly stated. Legal disclosures, such as security deposit information, are required in some jurisdictions. The lease should also include all necessary provisions, such as a recommendation that tenants acquire renters’ insurance.
3. The Duty to Deliver Possession
It is the landlord’s responsibility to handover possession of the rental unit to the tenant on the agreed-upon date once a lease contract is completed. Any prior renters must have vacated the premises and the apartment must be in move-in condition.
4. Implied Warranty of Habitability
Another responsibility is to ensure that the rental unit is safe and habitable. The property must be free of major flaws, and all supplied appliances, fixtures, plumbing, and heating must function properly. Insects and pests must not be present on the site. Even if infestations emerge after tenants have moved in, landlords are normally responsible for putting them under control, however, in most states, landlords can circumvent this by noting in the rental agreement that pest control is the renter’s duty.
5. Respect the Tenant’s Right to Quiet Enjoyment
Tenants have the right to peaceful enjoyment under most landlord-tenant laws, which means they have the advantage of residing in their house without being disturbed. The landlord may not interfere with a tenant’s right to possession once he or she has taken possession of a property. As a result, it is the landlord’s responsibility to ensure that he or she does not enter the rental property without first giving adequate notice. When a landlord visits a rented property, he or she must do so at a reasonable hour and for a justifiable reason.
6. Completing Repairs in a Reasonable Time Frame
Tenants have the responsibility of reporting any repairs that need to be done. Landlords’ responsibilities include responding to these reports and completing repairs in a timely manner. Urgent repairs should be done right away, while minor issues can be addressed more conveniently. But beware that unrepaired damage tends to cause more damage, and tends to encourage tenants to vacate the rental property.
7. Providing Safety Measures
It is your duty to protect your tenants, to a point. In some jurisdictions, landlords must provide specific safety measures. These may include fire and carbon monoxide detectors, fire extinguishers, front door peepholes, deadbolt locks on exterior doors, and window locks.
8. Reporting Crime
If a landlord becomes aware of any criminal activity taking place in one of their rental units, they must report it to authorities. For example, some landlord-tenant acts have specific laws that can find a landlord liable if their property is used for dealing or creating drugs.
9. On-Site Property Management
In some states, the law requires on-site property management of multiplex buildings of a certain size. In California, for example, landlords must provide on-site management of all residential rental buildings of 16 units or larger.
10. Responsible for Property Manager’s Acts
An often-overlooked concern is that you can be liable for your property manager’s acts, including illegal ones. If a property manager does not follow local landlord-tenant laws and a rental application is refused based on their religion or race, for example, the landlord can also be held responsible. Stay up-to-date on your rental property’s operations and keep a watchful eye on anyone who works for you.
Being a landlord involves a steep learning curve when starting out, and the laws aren’t always simple. Taking the time to learn about your responsibilities as a landlord can mean the difference between earning a nice profit and losing money – or worse. Protect yourself by learning the laws that apply to you and surrounding yourself with a team of professionals.
