SlideShare una empresa de Scribd logo
1 de 44
Residential Rental:
Landlord/Tenant Issues
RE09R07
Practicing Safely & Lawsuit-Free!
Residential Rentals
• Disclaimer:

This presentation is based upon Massachusetts law

and the best information available through the Real Estate Licensing
board and the local Boards of Realtors and the Rental Housing Agency.
This presentation does not constitute legal advise and is no substitute
for individual legal advise by a competent attorney who is familiar with
the landlord/tenant laws of your state and the specific details of your
situation. All Brokerages specifically recommend that its clients seek
out legal counsel prior to entering any contractual agreement in this
area.
Introduction
• Providing Rental Representation for
Clients
• Practicing Rentals within the scope
of the Law – Legal Compliance
• CYA
Residential Rentals
• Mandatory Consumer-Licensee disclosure
a. Not required by law in rental of property
b. You still have an agency relationship with the
landlord, tenant or both and need to
maintain your fiduciary awareness to them.
I. License Requirements:
A. License required.
•“No person shall engage in the business of finding dwelling
accommodations for prospective tenants for a fee unless such
person is a licensed broker or salesperson.”

B. Exception – a managing agent under contract
•“A managing agent (or employees of that agent) under contract
with the owner of the real estate in the regular course of their
employment is not required to be licensed.”
II. Written Fee Disclosure
A. First personal meeting to discuss all rental property.
B. Disclosure to include:
1. Whether the tenant will pay a fee for rental services
2. The amount of the fee
3. Manner and time of when the fee is due to be paid.
4. Is the fee payable regardless if tenancy is created.
5. Signature of broker/salesperson with license # & date
6. Signature of prospective tenant or refusal to sign noted.
II. Written Fee
Disclosure(cont.)
C. This fee disclosure requirement applies to ALL
residential rentals.
D.The fee disclosure MUST be kept on file by the broker
for three (3) years and is subject to audit by the
licensing board.
***See the attached MAR Broker’s Rental Fee Disclosure
form
III. Rental Listings
A. Exclusive –
●

In writing

●

Include Addendum

**Standard Right to Lease Agreement-attached
**ERA Key– Sample Lease agreement Addendum-attached:
*This form clarifies what you are going to do for the
Landlord and contains a hold-harmless clause.
III. Rental Listings
B. Open, non exclusive
•Not recommended
•Often not in writing
IV. Leasing Process
A. Screening tenants
•

Key word --- Consistency!
Have ALL applicants follow the same process.

• MAR - Prospective Tenant information form attached
1. Personal credit report – only with written
authorization. ($10.00 fee per adult - paid by tenant)
•

C.O.R.I. reports --- ???
IV. Leasing Process
A. Screening tenants – continued…
2. Fair Housing/rental concerns – refer to handout
3. Check tenants prior rental history – 2 landlords back!
4. Check employment history, salary, continued
employment…
-- general rule of thumb – 25% of income to go to rent

5. Landlord meets tenants personally.
-- I always try to check out where they currently live.
IV Leasing Process
B. Environmental
1. Lead Law
a. Tenant Lead Law Notification - attached
-- sign two copies, give one to the tenant
b. Tenant Certification Form - attached
-- sign 2 copies, give one to the tenant
c. Provide tenant with copies of the most recent
reports, if any.
B. Environmental
Lead Law – continued
d.Duty to De-lead or encapsulate.
e.Cannot refuse to rent to a tenant because they have
children under 6 years old
f.May have to pay for tenants temporary lodging during
de-leading.
g.Financial assistance ($1,500 tax credit per unit) on
Mass state income tax.
IV. Leasing process
C. Preparation/Delivery of the premises
1.Inspection by owner & agent. (take lots of pictures)

2.MAR Statement of Condition - attached
3.Abandoned property – return to tenant?
4.Board of Health inspection
-- a BOH sign off could act as a “violation free
baseline” if a tenant claims there are problems later.
IV. Leasing process
D. Safety & Habitability
1. Warranty of habitability (heat, water, fuel, etc…)
2. State Sanitary code
a. maximum # of occupants
b. extermination – maintain free of rodents, insects, etc…)
c. Kitchens – sink, stove/oven, facilities for a refrigerator
d. Heat -- including fuel unless a written agreement.
e. Water – must pay for unless separately and properly
metered
IV. Leasing Process
2. Sanitary Code – continued…
f. Hot water
g. Structural elements – weatherproof, watertight, rodent
proof…
h. Snow removal – all means of egress safe and operable.
i. Garbage and rubbish
j. Smoke & CO2 detectors must be present and maintained.
k. Locks – all entry doors (and windows) must be capable of
being reasonably secured against unlawful entry and
properly fitted with an operating locking device.
V. Leases
A. Written versus Oral
-- two reasons for written agreements
1. Oral agreement is only as good as the
memory and honesty of the parties
2. Take advantage of explicit provisions
-- sublet, occupants, key, access
-- sanitary code ( who pays for heat?)
-- pets, smoking, etc…
V. Leases
B. Requirements for a valid lease
1. Offer and acceptance
2. Consideration
3. Capacity to contract
4. Legal objective
V. Leases
C. Types of Leases (tenancies)
1. Fixed term tenancy
-- written lease
-- date lease ends
-- amount of rent
-- what the rent includes
-- typically 1 year, but can be any other term.
** Standard

Residential Lease

2. Self extending lease

- attached
V. Leases
3. Tenancy at Will
-- “month to month”
-- either party may terminate by given notice in advance at
least one rental period or 30 days, whichever is longer.
-- may be written or oral….writing provides much better
protection
*** MAR

Tenancy at Will Agreement

4. Subsidized Tenancy

- attached
V. Leases
D. Lease provisions
1. Quiet enjoyment
2. Water metering
3. Late payment penalties
4. Escalation clauses (taxes, heat, etc..)
5. Utilities
V. Leases
E. Lessor (Landlord) Access
1.

Limitations

2.

Who may enter

3.

Purpose of entry

4.

Timing (statutory 24 hours?)

5.

Key?

6.

“Reasonable Notice”
V. Leases
F. Unenforceable lease provisions
1.

Tenants waiver of rights

2.

Landlord exemption from law

3.

Limitations on children

4.

Landlord “hold harmless”

5.

Requirement of landlord “periodic access”

6.

Cannot waive habitability

7.

Landlord cannot transfer utilities without consent

8.

Lessor reprisals
VI. Deposits
A. Maximum allowable payments
1. First months rent
2. Last months rent
3. Security deposit
4. Lock/key deposit

B. Illegal deposits
1. Cleaning deposits, pet deposits, reverse penalties,
timing of late fees, etc…
VI. Deposits
C. Security Deposits
1.

Property of the tenant

2.

Separate account

3.

Written receipt required 30 days *MAR

4.

Written

5.

Interest payment required (5% or actual interest received) on
anniversary date.

receipt - attached

Statement of Condition

- attached
VI. Deposits
D. Last months rent
1. Written receipt required - attached
2. Required terms of written receipt
3. Interest required
4. Rate of interest
5. When interest is due
VII. Terminating tenancies
A. By agreement/fixed term lease
B. Terminating tenancies at will / 30 day or
rental period
C. Notices to Quit - attached
•

14 day notice to quit for non-payment

•

7 day notice to quit for other than non-payment

D. Retaliation/self help eviction
VII. Terminating Tenancies
(cont.)
E. Summary Process
F. Storing property/abandoned property
G. No Lockout without court order
VIII. Wrongful acts of Landlord
A. Dangerous conditions
B. Failing to reimburse for authorized repairs
C. Failing to comply with housing codes
D. Demanding money for real estate taxes
E. Failure to make agreement clear and simple
F. Depriving access without court order
VIII. Wrongful acts of Landlord
(cont.)
• Imposing interest for less than 30 days late
• Failing to disclose late payment sanctions
• Interference with quiet enjoyment of
tenant
IX. Vacation Rentals (two types)
A. Rentals for 100 days or less for vacation or
recreational purposes generally exempt from many
of the laws regarding residential rentals
B. Rentals for 31 days or less for vacation or
recreational purposes are generally exempt from
lead paint law requirements so long as no chipping
or peeling lead paint exists in the dwelling unit and
the tenant has received the short term vacation
rental notification.
Rental
Wrap Up
Taking the Rental Listing
• Exclusive Right to Lease
• Setting Expectations of Landlord
• Tenant Lead Notification form
• Where to market Rental Listings
• Offering of Compensation
• Following legal guidelines in ads
Working with Tenants
• Charging a fee for locating a rental for a
tenant
• Proper treatment of tenants – equal
opportunity
• Forms/documents to assure tenant
receives
Processing the Applications
• Completion of Applications
• Running Credit and Fees for doing so
• Calling of References
• Rejection or Acceptance of Applicants
• Documentation of Activities
• Security of Documentation
Processing the Applications
• Signing of the Lease
• Positive ID (license) at signing of lease
OR if tenant declined and requests
credit report
• Bank check for monies (if close to
tenancy) – to assure funds are secure
What your Landlord Needs to
Know
• Lease vs. Tenant at Will
• Collection of Up Front Monies
• Section 8 and Discrimination
• Proper accounting of Last Months rent
and Security Deposit
• Security Deposit Enforcement
Summary
• Rentals can be a good source of
additional income
• Rentals can be another source of
Liability
• Practice Carefully……
• Tenants some day become Buyers!
More Information
• Landlord Rights and Responsibilities
Tenants Rights and Responsibilities
• MAR Hotline (through your Manager)
More Information
• 1. Legal Tactics: Tenants’ Rights in Massachusetts by
Annette Duke (writing from a tenant’s perspective).
Published by the Mass Law Reform Institute
• 2. The Massachusetts Landlord Survival Guide, Seventh
Edition by Philip Lapatin and published by the Greater
Boston Real Estate Board
• 3. The Successful Landlord  by Maribeth Perry
published by the Central MA Housing Alliance Inc.
• 4. Landlords' Rights and Duties in Massachusetts,
Joseph P. Diblasi
Links

• http://www.mass.gov/Eoca/docs/LandlordRights.pdf
• http://www.mass.gov/Eoca/docs/TenantsRights.pdf

• http://www.mass.gov/Cago/docs/Consumer/Landlor
• http://www.gis.net/~groucho/landlord.html
• http://www.massrha.com/
Landlord Organizations & Support
Massachusetts Rental Housing Association
•Worcester Property Owners Association
•Southern Worcester County Landlord Association
•MetroWest Property Owners Association
•Greater Lowell Landlords Association
•Eastern Middlesex Property Owners Association
•Lawrence Landlord Association
Great for Agents TOO!
MA Real Estate CEU Course - Residential Rentals: Landlord/Tenant Issues_2-10-14

Más contenido relacionado

La actualidad más candente

Landlord and tenant obligations
Landlord and tenant obligationsLandlord and tenant obligations
Landlord and tenant obligationswww.growthlaw.com
 
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...Yasmin Adilah
 
Leasing Service Official Presentation Final (Short Version)
Leasing Service Official Presentation   Final (Short Version)Leasing Service Official Presentation   Final (Short Version)
Leasing Service Official Presentation Final (Short Version)jaylselga
 
Nyayo Estate Embakasi Residents' Guidelines 2014
Nyayo Estate Embakasi Residents' Guidelines 2014Nyayo Estate Embakasi Residents' Guidelines 2014
Nyayo Estate Embakasi Residents' Guidelines 2014Mūniū Karanja
 

La actualidad más candente (13)

ترجمه انگلیسی اجاره نامه تجاری دانلود رایگان
ترجمه انگلیسی اجاره نامه تجاری دانلود رایگانترجمه انگلیسی اجاره نامه تجاری دانلود رایگان
ترجمه انگلیسی اجاره نامه تجاری دانلود رایگان
 
grounds of eviction
grounds of evictiongrounds of eviction
grounds of eviction
 
ترجمه انگلیسی اجاره نامه ماده ای
ترجمه انگلیسی اجاره نامه ماده ایترجمه انگلیسی اجاره نامه ماده ای
ترجمه انگلیسی اجاره نامه ماده ای
 
Landlord and tenant obligations
Landlord and tenant obligationsLandlord and tenant obligations
Landlord and tenant obligations
 
Immovable security (group 4)
Immovable security (group 4)Immovable security (group 4)
Immovable security (group 4)
 
Houseowner Takaful
Houseowner TakafulHouseowner Takaful
Houseowner Takaful
 
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...
Estate & Forestry Consulting Management v Koperasi Permodalan Melayu Negeri J...
 
2016 Chicago RLTO Summary
2016 Chicago RLTO Summary2016 Chicago RLTO Summary
2016 Chicago RLTO Summary
 
Lease Explanation Made Easy
Lease Explanation Made EasyLease Explanation Made Easy
Lease Explanation Made Easy
 
Rights & responsibilities
Rights & responsibilitiesRights & responsibilities
Rights & responsibilities
 
Leasing Service Official Presentation Final (Short Version)
Leasing Service Official Presentation   Final (Short Version)Leasing Service Official Presentation   Final (Short Version)
Leasing Service Official Presentation Final (Short Version)
 
TNRRRLT Act,2017
TNRRRLT Act,2017TNRRRLT Act,2017
TNRRRLT Act,2017
 
Nyayo Estate Embakasi Residents' Guidelines 2014
Nyayo Estate Embakasi Residents' Guidelines 2014Nyayo Estate Embakasi Residents' Guidelines 2014
Nyayo Estate Embakasi Residents' Guidelines 2014
 

Similar a MA Real Estate CEU Course - Residential Rentals: Landlord/Tenant Issues_2-10-14

What are the landlord rights and what precautions a landlord shall take befor...
What are the landlord rights and what precautions a landlord shall take befor...What are the landlord rights and what precautions a landlord shall take befor...
What are the landlord rights and what precautions a landlord shall take befor...Green Realtech Projects Pvt. Ltd
 
importance of e-rent agreement before you rent pdf
importance of e-rent agreement before you rent pdfimportance of e-rent agreement before you rent pdf
importance of e-rent agreement before you rent pdfBivocalBirds
 
Buying and investing in the london property market
Buying and investing in the london property marketBuying and investing in the london property market
Buying and investing in the london property marketBolt Burdon
 
Routine actions
Routine actionsRoutine actions
Routine actionsGreg Myles
 
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial Tenant
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial TenantREAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial Tenant
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial TenantFinancial Poise
 
Prac pp chp 10
Prac pp chp 10Prac pp chp 10
Prac pp chp 10Cyrus Helf
 
Dormant oil and gas act
Dormant oil and gas actDormant oil and gas act
Dormant oil and gas actLisa McManus
 
Commercial Lease Deed
Commercial Lease DeedCommercial Lease Deed
Commercial Lease DeedLegalDelight
 
Lease 365 day (8 1)
Lease 365 day (8 1)Lease 365 day (8 1)
Lease 365 day (8 1)Nicole Preno
 
1WK2 - Docs and Registration.pdf
1WK2 - Docs and Registration.pdf1WK2 - Docs and Registration.pdf
1WK2 - Docs and Registration.pdfElizaMaedeGuzman1
 
Residential Lease Deed
Residential Lease DeedResidential Lease Deed
Residential Lease DeedLegalDelight
 
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...Browne Jacobson LLP
 
Crc section three 9 9-14
Crc section three 9 9-14Crc section three 9 9-14
Crc section three 9 9-14Troy Pennington
 
Tenant protection act of 2020
Tenant protection act of 2020Tenant protection act of 2020
Tenant protection act of 2020Bobby Sharma
 
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...Ashish Hande
 
Tenant landlord presentation 1
Tenant landlord presentation 1Tenant landlord presentation 1
Tenant landlord presentation 1Robin Guillian
 

Similar a MA Real Estate CEU Course - Residential Rentals: Landlord/Tenant Issues_2-10-14 (20)

Scottish Letting Day 2019 - Showdome afternoon sessions
Scottish Letting Day 2019 - Showdome afternoon sessionsScottish Letting Day 2019 - Showdome afternoon sessions
Scottish Letting Day 2019 - Showdome afternoon sessions
 
What are the landlord rights and what precautions a landlord shall take befor...
What are the landlord rights and what precautions a landlord shall take befor...What are the landlord rights and what precautions a landlord shall take befor...
What are the landlord rights and what precautions a landlord shall take befor...
 
Scottish Letting Day 2019 - Biosphere Blue
Scottish Letting Day 2019 - Biosphere BlueScottish Letting Day 2019 - Biosphere Blue
Scottish Letting Day 2019 - Biosphere Blue
 
importance of e-rent agreement before you rent pdf
importance of e-rent agreement before you rent pdfimportance of e-rent agreement before you rent pdf
importance of e-rent agreement before you rent pdf
 
Buying and investing in the london property market
Buying and investing in the london property marketBuying and investing in the london property market
Buying and investing in the london property market
 
Routine actions
Routine actionsRoutine actions
Routine actions
 
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial Tenant
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial TenantREAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial Tenant
REAL ESTATE LAW DUMBED DOWN 2022 - Representing the Commercial Tenant
 
L3 presentation4
L3 presentation4L3 presentation4
L3 presentation4
 
Prac pp chp 10
Prac pp chp 10Prac pp chp 10
Prac pp chp 10
 
Dormant oil and gas act
Dormant oil and gas actDormant oil and gas act
Dormant oil and gas act
 
Commercial Lease Deed
Commercial Lease DeedCommercial Lease Deed
Commercial Lease Deed
 
Lease 365 day (8 1)
Lease 365 day (8 1)Lease 365 day (8 1)
Lease 365 day (8 1)
 
1WK2 - Docs and Registration.pdf
1WK2 - Docs and Registration.pdf1WK2 - Docs and Registration.pdf
1WK2 - Docs and Registration.pdf
 
Residential Lease Deed
Residential Lease DeedResidential Lease Deed
Residential Lease Deed
 
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...
I'm a tenant get me out of here - In house lawyers forum 2015, Pamela Shepher...
 
Crc section three 9 9-14
Crc section three 9 9-14Crc section three 9 9-14
Crc section three 9 9-14
 
Tenant protection act of 2020
Tenant protection act of 2020Tenant protection act of 2020
Tenant protection act of 2020
 
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...
Other Financial Services-Leasing and Hire Purchase; Debt Securitization; Hous...
 
Tenant landlord presentation 1
Tenant landlord presentation 1Tenant landlord presentation 1
Tenant landlord presentation 1
 
Hinkel Chapter 11
Hinkel Chapter 11Hinkel Chapter 11
Hinkel Chapter 11
 

Último

Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...
Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...
Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...ApartmentWala1
 
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCR
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCRCall Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCR
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCRasmaqueen5
 
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhidelhimodel235
 
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort Service
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort ServiceBDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort Service
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort ServiceDelhi Call girls
 
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports Work
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports WorkTENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports Work
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports WorkTurbo Tenant
 
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best in D...
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best  in D...Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best  in D...
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best in D...asmaqueen5
 
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)Delhi Call girls
 
Eldeco Dwarka Project In Delhi-brochure.pdf.pdf
Eldeco Dwarka Project In Delhi-brochure.pdf.pdfEldeco Dwarka Project In Delhi-brochure.pdf.pdf
Eldeco Dwarka Project In Delhi-brochure.pdf.pdfkratirudram
 
Acibadem Konaklari Uskudar - Listin Turkey
Acibadem Konaklari Uskudar - Listin TurkeyAcibadem Konaklari Uskudar - Listin Turkey
Acibadem Konaklari Uskudar - Listin TurkeyListing Turkey
 
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)Delhi Call girls
 
Kolte Patil Kharadi Pune E Brochure.pdf
Kolte Patil Kharadi Pune E  Brochure.pdfKolte Patil Kharadi Pune E  Brochure.pdf
Kolte Patil Kharadi Pune E Brochure.pdfabbu831446
 
2k Shot Call girls Aiims Delhi 9205541914
2k Shot Call girls Aiims Delhi 92055419142k Shot Call girls Aiims Delhi 9205541914
2k Shot Call girls Aiims Delhi 9205541914Delhi Call girls
 
Greater Vancouver Realtors Statistics Package April 2024
Greater Vancouver Realtors Statistics Package April 2024Greater Vancouver Realtors Statistics Package April 2024
Greater Vancouver Realtors Statistics Package April 2024VickyAulakh1
 
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdf
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdfThe Gale at Godrej Park World Hinjewadi Pune Brochure.pdf
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdfPrachiRudram
 
Parksville 96 Surrey Floor Plans May 2024
Parksville 96 Surrey Floor Plans May 2024Parksville 96 Surrey Floor Plans May 2024
Parksville 96 Surrey Floor Plans May 2024VickyAulakh1
 
M3M The Line Brochure - Premium Investment Opportunity for Commercial Ventures
M3M The Line Brochure - Premium Investment Opportunity for Commercial VenturesM3M The Line Brochure - Premium Investment Opportunity for Commercial Ventures
M3M The Line Brochure - Premium Investment Opportunity for Commercial Venturessheltercareglobal
 
Kohinoor Hinjewadi Phase 2 Pune E-Brochure.pdf
Kohinoor Hinjewadi Phase 2 Pune  E-Brochure.pdfKohinoor Hinjewadi Phase 2 Pune  E-Brochure.pdf
Kohinoor Hinjewadi Phase 2 Pune E-Brochure.pdfManishSaxena95
 
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhidelhimodel235
 
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhidelhimodel235
 

Último (20)

Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...
Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...
Best Deal Virtual Space in Satya The Hive Tata Zudio 750 Sqft 1.89 Cr All inc...
 
Retail Center For Sale - 1019 River St., Belleville, WI
Retail Center For Sale - 1019 River St., Belleville, WIRetail Center For Sale - 1019 River St., Belleville, WI
Retail Center For Sale - 1019 River St., Belleville, WI
 
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCR
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCRCall Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCR
Call Girls in Karkardooma Delhi +91 84487779280}Woman Seeking Man in Delhi NCR
 
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 1 Delhi (Call Girls) Delhi
 
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort Service
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort ServiceBDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort Service
BDSM⚡Call Girls in Sector 55 Noida Escorts >༒8448380779 Escort Service
 
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports Work
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports WorkTENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports Work
TENANT SCREENING REPORT SERVICES​ How Tenant Screening Reports Work
 
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best in D...
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best  in D...Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best  in D...
Call Girls in Anand Vihar Delhi +91 8447779280}Call Girls In Delhi Best in D...
 
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)
2k Shots ≽ 9205541914 ≼ Call Girls In Sainik Farm (Delhi)
 
Eldeco Dwarka Project In Delhi-brochure.pdf.pdf
Eldeco Dwarka Project In Delhi-brochure.pdf.pdfEldeco Dwarka Project In Delhi-brochure.pdf.pdf
Eldeco Dwarka Project In Delhi-brochure.pdf.pdf
 
Acibadem Konaklari Uskudar - Listin Turkey
Acibadem Konaklari Uskudar - Listin TurkeyAcibadem Konaklari Uskudar - Listin Turkey
Acibadem Konaklari Uskudar - Listin Turkey
 
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)
Enjoy Night ≽ 8448380779 ≼ Call Girls In Iffco Chowk (Gurgaon)
 
Kolte Patil Kharadi Pune E Brochure.pdf
Kolte Patil Kharadi Pune E  Brochure.pdfKolte Patil Kharadi Pune E  Brochure.pdf
Kolte Patil Kharadi Pune E Brochure.pdf
 
2k Shot Call girls Aiims Delhi 9205541914
2k Shot Call girls Aiims Delhi 92055419142k Shot Call girls Aiims Delhi 9205541914
2k Shot Call girls Aiims Delhi 9205541914
 
Greater Vancouver Realtors Statistics Package April 2024
Greater Vancouver Realtors Statistics Package April 2024Greater Vancouver Realtors Statistics Package April 2024
Greater Vancouver Realtors Statistics Package April 2024
 
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdf
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdfThe Gale at Godrej Park World Hinjewadi Pune Brochure.pdf
The Gale at Godrej Park World Hinjewadi Pune Brochure.pdf
 
Parksville 96 Surrey Floor Plans May 2024
Parksville 96 Surrey Floor Plans May 2024Parksville 96 Surrey Floor Plans May 2024
Parksville 96 Surrey Floor Plans May 2024
 
M3M The Line Brochure - Premium Investment Opportunity for Commercial Ventures
M3M The Line Brochure - Premium Investment Opportunity for Commercial VenturesM3M The Line Brochure - Premium Investment Opportunity for Commercial Ventures
M3M The Line Brochure - Premium Investment Opportunity for Commercial Ventures
 
Kohinoor Hinjewadi Phase 2 Pune E-Brochure.pdf
Kohinoor Hinjewadi Phase 2 Pune  E-Brochure.pdfKohinoor Hinjewadi Phase 2 Pune  E-Brochure.pdf
Kohinoor Hinjewadi Phase 2 Pune E-Brochure.pdf
 
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 7 Delhi (Call Girls) Delhi
 
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi
9990771857 Call Girls in Dwarka Sector 2 Delhi (Call Girls) Delhi
 

MA Real Estate CEU Course - Residential Rentals: Landlord/Tenant Issues_2-10-14

  • 1.
  • 3. Residential Rentals • Disclaimer: This presentation is based upon Massachusetts law and the best information available through the Real Estate Licensing board and the local Boards of Realtors and the Rental Housing Agency. This presentation does not constitute legal advise and is no substitute for individual legal advise by a competent attorney who is familiar with the landlord/tenant laws of your state and the specific details of your situation. All Brokerages specifically recommend that its clients seek out legal counsel prior to entering any contractual agreement in this area.
  • 4. Introduction • Providing Rental Representation for Clients • Practicing Rentals within the scope of the Law – Legal Compliance • CYA
  • 5. Residential Rentals • Mandatory Consumer-Licensee disclosure a. Not required by law in rental of property b. You still have an agency relationship with the landlord, tenant or both and need to maintain your fiduciary awareness to them.
  • 6. I. License Requirements: A. License required. •“No person shall engage in the business of finding dwelling accommodations for prospective tenants for a fee unless such person is a licensed broker or salesperson.” B. Exception – a managing agent under contract •“A managing agent (or employees of that agent) under contract with the owner of the real estate in the regular course of their employment is not required to be licensed.”
  • 7. II. Written Fee Disclosure A. First personal meeting to discuss all rental property. B. Disclosure to include: 1. Whether the tenant will pay a fee for rental services 2. The amount of the fee 3. Manner and time of when the fee is due to be paid. 4. Is the fee payable regardless if tenancy is created. 5. Signature of broker/salesperson with license # & date 6. Signature of prospective tenant or refusal to sign noted.
  • 8. II. Written Fee Disclosure(cont.) C. This fee disclosure requirement applies to ALL residential rentals. D.The fee disclosure MUST be kept on file by the broker for three (3) years and is subject to audit by the licensing board. ***See the attached MAR Broker’s Rental Fee Disclosure form
  • 9. III. Rental Listings A. Exclusive – ● In writing ● Include Addendum **Standard Right to Lease Agreement-attached **ERA Key– Sample Lease agreement Addendum-attached: *This form clarifies what you are going to do for the Landlord and contains a hold-harmless clause.
  • 10. III. Rental Listings B. Open, non exclusive •Not recommended •Often not in writing
  • 11. IV. Leasing Process A. Screening tenants • Key word --- Consistency! Have ALL applicants follow the same process. • MAR - Prospective Tenant information form attached 1. Personal credit report – only with written authorization. ($10.00 fee per adult - paid by tenant) • C.O.R.I. reports --- ???
  • 12. IV. Leasing Process A. Screening tenants – continued… 2. Fair Housing/rental concerns – refer to handout 3. Check tenants prior rental history – 2 landlords back! 4. Check employment history, salary, continued employment… -- general rule of thumb – 25% of income to go to rent 5. Landlord meets tenants personally. -- I always try to check out where they currently live.
  • 13. IV Leasing Process B. Environmental 1. Lead Law a. Tenant Lead Law Notification - attached -- sign two copies, give one to the tenant b. Tenant Certification Form - attached -- sign 2 copies, give one to the tenant c. Provide tenant with copies of the most recent reports, if any.
  • 14. B. Environmental Lead Law – continued d.Duty to De-lead or encapsulate. e.Cannot refuse to rent to a tenant because they have children under 6 years old f.May have to pay for tenants temporary lodging during de-leading. g.Financial assistance ($1,500 tax credit per unit) on Mass state income tax.
  • 15. IV. Leasing process C. Preparation/Delivery of the premises 1.Inspection by owner & agent. (take lots of pictures) 2.MAR Statement of Condition - attached 3.Abandoned property – return to tenant? 4.Board of Health inspection -- a BOH sign off could act as a “violation free baseline” if a tenant claims there are problems later.
  • 16. IV. Leasing process D. Safety & Habitability 1. Warranty of habitability (heat, water, fuel, etc…) 2. State Sanitary code a. maximum # of occupants b. extermination – maintain free of rodents, insects, etc…) c. Kitchens – sink, stove/oven, facilities for a refrigerator d. Heat -- including fuel unless a written agreement. e. Water – must pay for unless separately and properly metered
  • 17. IV. Leasing Process 2. Sanitary Code – continued… f. Hot water g. Structural elements – weatherproof, watertight, rodent proof… h. Snow removal – all means of egress safe and operable. i. Garbage and rubbish j. Smoke & CO2 detectors must be present and maintained. k. Locks – all entry doors (and windows) must be capable of being reasonably secured against unlawful entry and properly fitted with an operating locking device.
  • 18. V. Leases A. Written versus Oral -- two reasons for written agreements 1. Oral agreement is only as good as the memory and honesty of the parties 2. Take advantage of explicit provisions -- sublet, occupants, key, access -- sanitary code ( who pays for heat?) -- pets, smoking, etc…
  • 19. V. Leases B. Requirements for a valid lease 1. Offer and acceptance 2. Consideration 3. Capacity to contract 4. Legal objective
  • 20. V. Leases C. Types of Leases (tenancies) 1. Fixed term tenancy -- written lease -- date lease ends -- amount of rent -- what the rent includes -- typically 1 year, but can be any other term. ** Standard Residential Lease 2. Self extending lease - attached
  • 21. V. Leases 3. Tenancy at Will -- “month to month” -- either party may terminate by given notice in advance at least one rental period or 30 days, whichever is longer. -- may be written or oral….writing provides much better protection *** MAR Tenancy at Will Agreement 4. Subsidized Tenancy - attached
  • 22. V. Leases D. Lease provisions 1. Quiet enjoyment 2. Water metering 3. Late payment penalties 4. Escalation clauses (taxes, heat, etc..) 5. Utilities
  • 23. V. Leases E. Lessor (Landlord) Access 1. Limitations 2. Who may enter 3. Purpose of entry 4. Timing (statutory 24 hours?) 5. Key? 6. “Reasonable Notice”
  • 24. V. Leases F. Unenforceable lease provisions 1. Tenants waiver of rights 2. Landlord exemption from law 3. Limitations on children 4. Landlord “hold harmless” 5. Requirement of landlord “periodic access” 6. Cannot waive habitability 7. Landlord cannot transfer utilities without consent 8. Lessor reprisals
  • 25. VI. Deposits A. Maximum allowable payments 1. First months rent 2. Last months rent 3. Security deposit 4. Lock/key deposit B. Illegal deposits 1. Cleaning deposits, pet deposits, reverse penalties, timing of late fees, etc…
  • 26. VI. Deposits C. Security Deposits 1. Property of the tenant 2. Separate account 3. Written receipt required 30 days *MAR 4. Written 5. Interest payment required (5% or actual interest received) on anniversary date. receipt - attached Statement of Condition - attached
  • 27. VI. Deposits D. Last months rent 1. Written receipt required - attached 2. Required terms of written receipt 3. Interest required 4. Rate of interest 5. When interest is due
  • 28. VII. Terminating tenancies A. By agreement/fixed term lease B. Terminating tenancies at will / 30 day or rental period C. Notices to Quit - attached • 14 day notice to quit for non-payment • 7 day notice to quit for other than non-payment D. Retaliation/self help eviction
  • 29. VII. Terminating Tenancies (cont.) E. Summary Process F. Storing property/abandoned property G. No Lockout without court order
  • 30. VIII. Wrongful acts of Landlord A. Dangerous conditions B. Failing to reimburse for authorized repairs C. Failing to comply with housing codes D. Demanding money for real estate taxes E. Failure to make agreement clear and simple F. Depriving access without court order
  • 31. VIII. Wrongful acts of Landlord (cont.) • Imposing interest for less than 30 days late • Failing to disclose late payment sanctions • Interference with quiet enjoyment of tenant
  • 32. IX. Vacation Rentals (two types) A. Rentals for 100 days or less for vacation or recreational purposes generally exempt from many of the laws regarding residential rentals B. Rentals for 31 days or less for vacation or recreational purposes are generally exempt from lead paint law requirements so long as no chipping or peeling lead paint exists in the dwelling unit and the tenant has received the short term vacation rental notification.
  • 34. Taking the Rental Listing • Exclusive Right to Lease • Setting Expectations of Landlord • Tenant Lead Notification form • Where to market Rental Listings • Offering of Compensation • Following legal guidelines in ads
  • 35. Working with Tenants • Charging a fee for locating a rental for a tenant • Proper treatment of tenants – equal opportunity • Forms/documents to assure tenant receives
  • 36. Processing the Applications • Completion of Applications • Running Credit and Fees for doing so • Calling of References • Rejection or Acceptance of Applicants • Documentation of Activities • Security of Documentation
  • 37. Processing the Applications • Signing of the Lease • Positive ID (license) at signing of lease OR if tenant declined and requests credit report • Bank check for monies (if close to tenancy) – to assure funds are secure
  • 38. What your Landlord Needs to Know • Lease vs. Tenant at Will • Collection of Up Front Monies • Section 8 and Discrimination • Proper accounting of Last Months rent and Security Deposit • Security Deposit Enforcement
  • 39. Summary • Rentals can be a good source of additional income • Rentals can be another source of Liability • Practice Carefully…… • Tenants some day become Buyers!
  • 40. More Information • Landlord Rights and Responsibilities Tenants Rights and Responsibilities • MAR Hotline (through your Manager)
  • 41. More Information • 1. Legal Tactics: Tenants’ Rights in Massachusetts by Annette Duke (writing from a tenant’s perspective). Published by the Mass Law Reform Institute • 2. The Massachusetts Landlord Survival Guide, Seventh Edition by Philip Lapatin and published by the Greater Boston Real Estate Board • 3. The Successful Landlord  by Maribeth Perry published by the Central MA Housing Alliance Inc. • 4. Landlords' Rights and Duties in Massachusetts, Joseph P. Diblasi
  • 42. Links • http://www.mass.gov/Eoca/docs/LandlordRights.pdf • http://www.mass.gov/Eoca/docs/TenantsRights.pdf • http://www.mass.gov/Cago/docs/Consumer/Landlor • http://www.gis.net/~groucho/landlord.html • http://www.massrha.com/
  • 43. Landlord Organizations & Support Massachusetts Rental Housing Association •Worcester Property Owners Association •Southern Worcester County Landlord Association •MetroWest Property Owners Association •Greater Lowell Landlords Association •Eastern Middlesex Property Owners Association •Lawrence Landlord Association Great for Agents TOO!

Notas del editor

  1. Using the correct form to list – do not use exclusive right to sell Set expectations about what you are going to do – use Key Form with Landlord and as a checklist for yourself later. Have Landlord complete Tenant Lead Notification so you have it on file to give to prospective tenants Cannot discriminate against children unless 2 family/owner occ Law provides must give prospective tenant lead notification and take application if desired. Landlord responsible for de-leading prior to tenant taking occupancy or getting interim compliance. Be Clear about compensation with Landlord and on Listing Agreement Marketing the rental Listing In MLS In Craigs List Make sure not to use discriminatory language Smoking vs. Section 8
  2. Decide if you are going to choose to work with Tenants that call the office Difference between servicing the tenant to find a place and showing them your rental unit Showing your Listing Provide Lead Paint Notice to prospective tenant Provide application for each person over 18 who would be residing there Do and say the same things to ALL tenants that you show your listing to Showing Tenants Properties to locate housing Provide “Tenants rights and responsibilities” pamphlet Let them know about the possibility of Credit and References being pulled Discuss fees for assistance (1/2 month rent, can waive if List agent offering, Credit run cost, etc) Do not determine or suggest which areas a Tenant should or should not consider
  3. One full application for each adult over 18 residing in property You can collect fee for credit report running from tenant – just let them know up front Make sure application is signed and Social Sec # is on there before sending to Suzanne for run – obtain copy license from applicant as well Fax to Suzanne’s Key Vmail all applications w/copy of check for credit run and give admin the check (if you do not, you will be invoiced for the credit run) Call References as agreed with Landlord (housing, personal and employment) Document all reference input from calls for Landlord Review Credit – get assistance if uncertain After done with diligence above, present all applications at once to Landlord with pertinent information Provide prospective tenant with response. If applicant declined due to credit, give tenant a copy of credit report. Keep credit report in file – place in secure location (with admin) as opposed to in your personal possession – if you ever lost that info, you are subject to serious fines and penalties.
  4. One full application for each adult over 18 residing in property You can collect fee for credit report running from tenant – just let them know up front Make sure application is signed and Social Sec # is on there before sending to Suzanne for run – obtain copy license from applicant as well Fax to Suzanne’s Key Vmail all applications w/copy of check for credit run and give admin the check (if you do not, you will be invoiced for the credit run) Call References as agreed with Landlord (housing, personal and employment) Document all reference input from calls for Landlord Review Credit – get assistance if uncertain After done with diligence above, present all applications at once to Landlord with pertinent information Provide prospective tenant with response. If applicant declined due to credit, give tenant a copy of credit report. Keep credit report in file – place in secure location (with admin) as opposed to in your personal possession – if you ever lost that info, you are subject to serious fines and penalties.
  5. Clarify up front whether Landlord wants a Lease (one year typical) or a Tenancy at Will. Complete Lease or Tenancy at Will form using application and MLS listing form Give draft of agreement to Tenant and Landlord for review prior to signing Make sure the Landlord understands you cannot discriminate against anyone in the protected classes as well as indicating that the Landlord will not take Section 8 Review Landlords responsibilities for Last Months Rent and Security Deposit - Last Months Rent – requirement to pay interest annually - Security Deposit – up to one additional months rent - must complete Apartment Condition Statement and obtain all signatures - Landlord must put in separate account and notify tenant of location and account number within 30 days - Landlord must pay interest on Security Deposit annually - Landlord has 30 days to return Sec Deposit or notify Tenant of retention plans (following the rules at that point) Without all this – good possibility if went to court, landlord won’t keep security deposit