So many times I see basic mistakes made by landlords that if avoided would prevent expensive litigation and lost rent. That is why I put together these top ten tips for landlords.
1. Do more than a simple rental application on your prospective tenants. Check their: a. Credit b. Bankruptcies c. Criminal Convictions (when permitted) d. Past references e. Employment and f. Check for past evictions.
2. Obtain a: a. Complete tenant application containing: 1. Name 2. Prospective occupants 3. Social security numbers 4. Dates of birth 5. Employment information 6. Banking information 7. Credit cards information and 8. Additional obligations such as child support b. Obtain a photocopy of all tenants’: 1. Drivers’ licenses and 2. Social security cards. 3. Last two most recent pay stubs and 4. Last tax returns
3. Memorialize all terms and agreements in writing: a. Confirm who pays for what utilities b. Consider the number of occupants living in the unit c. Whether: 1. pets are allowed 2. parking is allowed 3. use of an existing garage is allowed 4. storage lockers are allowed.
4. Take interior and exterior pictures of the premises prior to the tenant moving in as well as have a leasing check list completed and signed at the time possession is given to the tenant.
5. Do more than have a form lease signed. Add riders to the lease that includes provisions addressing: a. Lead paint disclosure b. Window guard disclosure c. Late fees and bounce check policy d. Attorney’s fees e. Use of satellite dishes f. Pets g. Subleasing h. Other agency compliance language and riders
6. Keep organized, detailed records including: a. Record all payments received and charges incurred b. Give tenants pre-numbered receipts for any cash payments c. Keep receipts and copies of all checks, money orders and how they were applied and d. Document all repairs made in the apartment and have signed off by tenant when completed
7. Serve the appropriate notices in writing and pursuant to the lease or rent stabilization laws upon the tenant before commencing an action.
8. Do not wait several months before you decide to take action against your tenant. Delaying action may hinder your chances at success or further prejudice you as Courts generally provide tenants time to pay or move even if you obtain a judgment.
9. If there are conditions that need repair in a tenant’s apartment, fix the issues immediately and document the repairs made so that the tenant does not have a defense to not paying the rent.
10. Contact a lawyer who is very familiar with landlord tenant law when a tenant begins to be a problem to ensure you take the proper steps moving forward prior to starting an action.
Many tenants have experience in landlord-tenant court and may know the court system better than the landlords. If you have an issue with an existing tenant, contact us at James G. Dibbini & Associates today for assistance.
