Offering free perks to tenants can strengthen relationships and reputation

The largest landlord in the U.K.’s Peterborough area is offering its 10,000 tenants free IT training this fall. Cross Key Homes will be providing the free training to any tenants who want it. The effort is an attempt to provide a service the company believes is critical to today’s lifestyle.

“We believe that it is essential that our tenants are able to use computers and have access to the internet,” Tracey Croucher, community program manager for Cross Key Homes told The Peterborough Telegraph. “In these changing times so much is being done via the internet from job applications and shopping to applying for benefits. These courses will show tenants that computers and the internet are not as scary as they might seem.”

The initiative is an excellent example of how property managers can do more than make sure the rental property they manage is kept clean and its residents are happy. Giving tenants more for their money, in this day and age, is a worthy goal and can foster a deeper sense of satisfaction and loyalty to the property and the property manager. When tenants are given something above and beyond what they’re expecting, their favorable opinion of a property manager skyrockets. And with today’s social media outlets, those opinions quickly spread, becoming public opinion.

Is there a service or special amenity you think your tenants would appreciate? Chances are it wouldn’t take a lot of effort to make a huge, lasting impact on tenant-landlord relations.

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Tips for landlords to get through their tenants’ divorce

There are several things landlords hate to hear from tenants, and one of the trickiest ones is “We’re getting a divorce.” When your tenants begin the process of divorcing, it can throw a whole bunch of legal and ethical questions into the rental property mix. To help you out with this potential life event, we’ve broken down the issue to address some common questions:

1.     Who stays in the apartment? If both spouses are on the lease, the landlord cannot legally bar one tenant from the property. Don’t change the locks, kick someone out or do anything without a court order.

2.     What if there’s a restraining order? Divorce can be amicable, or it can get ugly. If there’s been an arrest, or even suspicion, related to domestic abuse, contact your attorney for legal advice before becoming a vigilante and attempting to evict someone on your own.

3.     Who is responsible for paying rent?  Whoever is on the lease. This doesn’t change until a court order changes the breakdown in responsibility for the couple’s financial obligations.  Both tenants might try to play you against the other. Stay out of it as much as possible, referring both to the original signed lease specifying who agreed to make timely rental payments and maintain the property.

Divorce is a tricky, sticky, emotional time for anyone going through it. As a landlord, you can be there to assist with the maintaining of the rental home, but otherwise respect their right to privacy and stay out of the mess. It’s better for you in the long run.

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New landlords must work hard to follow landlord-tenant laws

When new landlords get into the business, sometimes they think success comes down to using common sense and building relationships. They think if they perform the proper tenant screening and get someone to sign a lease, they’ll be good to go.

While in theory these are two of the most basic practices in the business of renting property, a good landlord understands that the tenant-landlord relationship is regulated by very important laws, laws you should familiarize yourself with before that first lease is signed. Most aspects of landlord-tenant relationships are regulated by state and local landlord-tenant laws. But federal law also comes into play, especially when it comes to preventing forms of discrimination when selecting tenants and making proper accommodations for their needs.

Landlord-Tenant Law protects landlords and tenants in the renting of real property, both residential and commercial. It defines the rights and obligations of landlords and tenants during the tenancy. A number of states have based their statutory law on either the Uniform Residential Landlord and Tenant Act (URLTA) or the Model Residential Landlord Tenant Code. Some city and county governments also have enacted various landlord-tenant regulations that you should be aware of before beginning your business.

Failure to obey the law can be costly, and ignorance of the law is not a legal excuse. So look up the various state and local laws and read through them carefully before you select your first tenant and sign your first lease.

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For new landlords, knowledge is power

Landlords who are new to the business can sometimes be naïve to the amount of things they need to know right off the bat. It’s not enough to have a great rental property ready for a tenant, or to have researched the market to figure out an appropriate amount to ask for in rent. There are rules and laws and inside information every new landlord should find out before getting that first lease signed. 

Because you don’t know what you don’t know, we’ve made it easy by outlining the most important things a new landlord should research before beginning your business. 

1. Become very familiar with the state landlord-tenant laws in the state where your rental property is located. 
2. Read, internalize and follow the federal Fair Housing Act of 1968 and the federal Fair Housing Act Amendments Act of 1988, to make sure you’re not breaking any laws regarding discrimination when screening and accepting (or rejecting) prospective tenants.
3. Research a reputable tenant screening service to carry out this most important part of your business. If you sign up with the first (or cheapest) fly-by-night screening service you find on the internet, chances are you’ll get what you pay for.
4. Join and participate in the local landlord association where you are. You can make  great contacts and get tips and insider info from this local resource.
5. Check into the building codes for your neighborhood, as well as any neighborhood association laws and rules that your tenants (and you) might be expected to adhere to. 
6. Find a good lawyer who specializes in landlord-tenant law, and use that resource to check leases, eviction notices and any other legal documents or forms of communication between you and your tenant.  

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The first impression is a crucial step in the tenant screening process

A lot has changed about the tenant screening process and the world in recent decades. We are a more casual society – we dress more casually, speak more casually to strangers, among other things. Still, you can tell a lot about a person from his or her first impression, and that is still an important step in the tenant screening. Sure it’s crucial to obtain their credit report and conduct a background check, to verify their employment and check references. But meeting a prospective tenant face to face satisfies a “gut check” that you can’t get strictly from a written report. 

There are a few things to look for when meeting a tenant applicant at the rental property, things that can go a long way toward helping you decide whether the applicant is worthy of becoming your tenant. 

• His attire. Applicants likely won’t treat your face-to-face meeting like a job interview; they mostly dress casually, and that’s fine. But are the clothes clean and presentable? Is there basic hygiene? The way a person presents himself says a lot about the value they place on themselves and their interactions with others. If he doesn’t respect himself, he might not respect you. 

• His interest. Does he seem honestly interested and excited about the prospect of living in the home? Is he engaged and open with you? 

• His questions.  Does he ask questions about breaking the lease, pets and other rules that lead you to believe he’ll be trying to get one over on you? 

• His application. Are there misspellings and blank spaces? Is it completely filled out? Is he making excuses about what an ex-landlord or employer might say when you call his references? These are all red flags to keep in mind when conducting the tenant screening.

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Interpret eviction records correctly to avoid errors in judgment

If you are a landlord or property manager who uses tenant screening as a reliable tool to weed out potentially bad tenants and find the best ones, congratulations – you’re doing yourself and your business a big favor. But if part of that tenant screening report includes an eviction record, your interpretation and actions regarding the results could open you up to discrimination claims, not to mention unfairly denying a potentially wonderful tenant the chance to live on your property. 

The use of eviction records can be very helpful, but be careful about the way you use them. So when requesting an eviction records search, keep these things in mind:

• The date of the judgment: According to the Fair Credit Reporting Act, civil suits, civil judgments, and records cannot be taken into account in the rental decision if they are older than seven years or until the governing statute of limitations has expired, whichever period is longer.
• The number of records returned:  A single offense may be due to special circumstances, while a list of offenses most likely indicates a much larger problem. If there is a single offense, ask the applicant to explain the situation, and contact the former landlord to back up their story. 
• The information contained in the record:  Any system that returns instant results has the potential for error. Verify that what you receive matches other information provided by your applicant or other areas of their tenant screening report. 

If you follow these guidelines and leave room for a frank discussion with your tenant applicant and his or her previous landlords, you could do both of you a favor and avoid an error in judgment that costs somebody a great place to live, and costs you a good tenant. 

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Recovering alcoholics protected under Fair Housing laws

It’s easy to make a decision on a tenant applicant whose background check turns up a recent drug-related conviction. But what about an applicant who admits to being a recovering alcoholic, or whose tenant screening report finds a court-ordered and completed drug addiction rehabilitation program?  Does such a red flag constitute grounds for denying the person’s rental application? 

One might think so, but the answer is no, and landlords must be careful to not go against Fair Housing Laws in this instance. The federal Fair Housing Act prohibits discrimination in housing based on a disability, which is defined as a physical or mental impairment that substantially limits at least one major life activity. This definition covers people recovering from alcoholism and drug addiction.

Tenant applicants who have successfully completed a drug treatment program (and can prove it) are protected under the disability provisions of the Fair Housing Act. This means that a landlord cannot refuse to rent to someone solely because of a history of drug addiction. 

If you’re dealing with a criminal conviction, especially a relatively recent one, then you are within your rights to deny the applicant. But be sure your decision doesn’t go against Fair Housing law and unfairly deny someone who is doing their best to get their life back together.

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