If landlords think ahead and prepare, they can avoid expensive legal and practical problems or reduce their impact. We represent property owners, and over the years, we have seen recurring themes and issues that can set landlords back. Learn from your mistakes and the mistakes of others to save yourself time, energy, grief, and money.
Some of those mistakes include the following:
- Not Screening Potential Tenants Adequately
This is essential to your “due diligence” when operating your business. You may be able to avoid significant problems throughout the lease’s term, like property damage or late or nonpayment of rent. Though it takes time and money to do a thorough job, screening a tenant is an investment that will probably yield positive returns. Credit reports and references from prior landlords can tell you a lot about a potential tenant.
You may refuse to rent to someone based on their prior criminal history if those convictions involve crimes that could threaten other renters’ health and safety or impact the person’s ability to comply with the lease and pay rent.
- Asking Illegal Questions
Some questions and issues are out of bounds when screening applicants or talking to tenants. Will every improper question result in being sued? No, but the more you do it, the better the possibility that might happen.
Some of the questions you shouldn’t ask relate to a person’s race, color, nationality, sexual orientation, or familial status because of state and federal anti-discrimination laws. If you ask about these topics and don’t rent to the potential tenant or take adverse action against an existing tenant, they may claim you’re doing it due to illegal bias against them.
- Not Using a Written Lease or Using One That’s Poorly Drafted
A lease can be a verbal agreement if the term is up to a year long. If it’s for more than a year, it’s only enforceable if it’s written. But it makes sense to put all agreements, no matter how long or short, in writing.
A written lease clarifies both parties’ rights and obligations and is not subject to what a party may or may not remember. An oral agreement of a year or less can be legally enforceable, but it can be a “he said she said” situation, and that’s not what you want. You want clarity so a judge does not need to guess what happened in a matter worth tens of thousands of dollars.
Lease language should be clear and understandable. An all-encompassing lease covering every possible scenario would be so long and complex that no prospective tenant in their right mind would sign it. You need comprehensive protection in a document that won’t scare away the tenants you seek. The lease also shouldn’t contain illegal provisions that are unenforceable and only serve to make your relationship with your tenant more difficult.
Our office has draft lease agreements you can use that comply with local, state, and federal requirements. They’re also updated as those requirements change. You shouldn’t rely on do-it-yourself or free lease forms from the internet.
- Failing to Make Disclosures to Prospective Tenants
You must disclose certain facts to potential tenants, including the presence of dangerous mold, lead paint, and potentially cancer-causing chemicals.
- Lock Tenants Out of Their Apartment
If you’ve reached the point where you want a tenant out of a unit, the proper action is eviction, not emptying the unit and changing the locks. If you do this, you’ll have legal problems (like a wrongful eviction lawsuit) plus your tenant problems.
California Civil Code Section 789.3 states that:
- You can’t obstruct your tenant’s access while they’re still living there
- If you do, and a case of wrongful eviction is successful, it may cost you a fine of $100 per day during the violation, plus paying the tenant’s attorney’s fees and costs, moving expenses, and emotional distress compensation
It’s time-consuming, but if you’re in this situation, your best option is the eviction or unlawful detainer process. State law makes locking out the less attractive option, given the consequences of a wrongful eviction case. We will make the eviction process as painless and quick as possible.
We’re Here to Help
If you’re a residential landlord and need to prevent or resolve a tenant dispute, call the AWB Law, P.C. team at (949) 244-4207 or complete our online contact form today. We can advise you on protecting your rights and ensuring your practices and policies comply with applicable laws and city ordinances.
