Making profitable and exciting investments in single-family rental homes is possible. However, becoming a landlord is more difficult than it may appear; prior to leasing your property to tenants, there are numerous details that must be mastered.
Knowing the fundamentals of leasing tactics and the laws that affect both you and your tenants is crucial for anyone purchasing their first rental property. We have put up a thorough guide covering all the essentials to assist you in leasing your first rental property. You can ensure a positive first experience as a landlord by adhering to these straightforward principles.
Mastering Renter Screening
Assembling comprehensive information about the prospective tenant is critical in order to secure the ideal tenant for your rental property. A rental application containing the names and dates of birth of all intended occupants, including minors, can be completed by them as a means of achieving this. Additional critical requirements are of a recent employment history and a minimum of three rental references from the past.
In addition, background checks and the collection of Social Security numbers of all adult renters can yield significant information regarding their personal lives and financial investments. You can locate a qualified tenant for your rental property by using the procedures listed here to help you make an informed choice.
Before granting a rental applicant access to your property, double-check the information they have provided. This objective can be accomplished through the compilation of rental history information by contacting the individuals’ prior landlords. You can prevent unpleasant surprises later on by doing extensive research before signing the lease, even though it might take some time.
Ensuring Non-Discriminatory Practices
It’s critical to steer clear avoid any form of discrimination, whether deliberate or inadvertent, when recruiting and vetting prospective tenants. Renters cannot be discriminated against on the basis of their race, sex, color, national origin, religion, handicap, or familial status, as stated by a number of federal laws in force. Maintaining awareness of and consistently adhering to these laws is imperative.
– Fair Housing Act (FHA): Prohibits housing discrimination on the basis of religion, sex, national origin, race, national origin, or disability; ensures all other protected characteristics are respected. Including tenant selection, advertising, and the terms and conditions of the tenancy, the FHA is applicable to each stage of the rental procedure.
– Americans with Disabilities Act (ADA): It’s crucial to remember that the Federal Housing Administration (FHA) is prohibited from discriminating against individuals with disabilities by law. It is your responsibility as a landlord to provide reasonable accommodations for people with disabilities if you own a building with four or more units. Implementing grab bars in restrooms and providing accessible parking spaces are examples of such measures.
– Age Discrimination in Employment Act (ADEA): An act of Congress safeguarding against workplace discrimination individuals aged 40 and older. Age-based discrimination in housing is likewise forbidden by the ADEA.
– Equal Credit Opportunity Act (ECOA): In credit transactions, including rental transactions, this federal law guarantees that no person is subjected to discrimination. In accordance with the ECOA, landlords are not allowed to treat people differently on the grounds of their age, marital status, race, color, national origin, religion, sex, or ageism.
State and local laws should also be investigated, in addition to federal legislation. Local laws might provide for additional protected classes.
It’s imperative to steer clear of discriminatory language when writing rental advertisements. This includes prohibiting seniors, families with children, and individuals receiving government assistance from renting your property. Encouragingly evaluating applicants according to the data in their application is essential when screening them. You can be certain you’re not prejudiced against prospective tenants by upholding professionalism and employing an impartial screening procedure.
Legal Obligations
Pretending that an individual with a disability is inherently unsuitable to rent your property is an extremely important error that must be avoided. Pupils are entitled to “reasonable accommodations” from their landlords in accordance with the Federal Fair Housing Act. Reasonable accommodation is “a change, exception, or adjustment to a rule, policy, practice, or service that may be necessary for a person with a disability to have an equal opportunity to use and enjoy a dwelling.” Reasonable accommodation should not be used as a basis to reject a prospective tenant who satisfies the eligibility criteria for renting your property. With the understanding that they will return the property to its original state upon move-out, the renter will cover the cost and installation of the requested accommodations.
Despite the presence of a firm policy prohibiting pets, one accommodation that may be necessary is permitting service and emotional support animals within the rental property. It’s vital to remember that rental pet policies do not apply to service or emotional support animals, and you are not allowed to charge extra for a tenant who chooses to keep a service animal on the premises.
It can be difficult to be aware of every legal requirement and the best practices for renting out real estate. Why not entrust this duty to a Westerville property manager? In order to assist our rental property owners in finding the best tenants for their properties, Real Property Management Clarity Central provides transparent and anti-discriminatory screening and leasing services. Contact us online today or at 614-405-2340 to learn more.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
