Landlords Save Thousands!
I had a a couple of minutes free, so I figured I'd jot down a few things that could potentially save you thousands!
1) NEVER label an additional deposit for pets as a “Pet Depositâ€. Many courts will only allow you to deduct the amount allocated for a “Pet Deposit†for repairs caused by a tenants pet. The best wording when dealing with a pet is “An additional deposit in the amount of $??? is required if a pet will be present in the property."
2) Always be as specific as possible when determining Owner / Tenant Responsibilities. Children are normally the reason for costly repairs. Adding a simple clause to your Lease Agreement similar to the following may save you a ton:
Tenant is liable for any damage caused by the occupants of the property including, plumbing, electrical, and acts of vandalism.
Something this simple can save you from having to pay $4000 to replace a sewer line that the tenant’s children stuffed toys in. Or at least will give you the ability to go after them for the money if they skip town.
3) Establish set inspection dates…and stick to them. Tenants seem to always take better care of a property if they know the Landlord or their representative will be stopping by periodically.
4) Never use an Unlicensed Property Manager (even if your State allows it). Licensed Property Managers must have strict bookkeeping and accounting practices. They are also subject to random audits by the State. Unlicensed Property Managers are not governed by anyone and have a greater potential for costly mistakes.
5) NEVER accept partial payment once a Dispossessory is filed. Accepting a partial payment in most cases will automatically void the Dispossessory.
6) Never take certified funds from a tenant who is an employee of the place where the certified funds come. You might as well have accepted a personal check!