Lease strategies regarding appliances and pools

7 Replies

2 questions for everyone: how do you manage your appliances in the home like refrigerators, microwaves, dishwashers, etc? Do you have language in your lease to help hold the tenant accountable?  Do home warranties actually work?  I have had to replace everything a few times over in last 3 years and feel like that shouldn't be happening but I need better language in my next lease to help cover me so checking to see what works out there for you.

Also, is it a good idea to put into the lease a statement that a pool company has to be hired by the tenant to maintain the pool?  I have had to replace expensive parts (pool motors, etc) allowing the tenant to maintain on their own and I feel like there needs to be a better option there. Let me know what you guys think!

I only supply Stoves and wall AC units...my lease states the they are there as a courtesy, and the tenant is repsonsible if they break...HOWEVER...I always eat the cost of repair or replacment. Forget about home warranties...they specialize in exclusion clauses...if they do repairs, they use the crappiest parts, and they do not attend to repairs in a timely manner for you as a landlord.

1. If you have had to replace everything a few times over in 3 years you either have really old, crappy appliances or crappy tenants. I have had one existing appliance replacement in the last 4 years. 

2. We provide range, refrigerator, dishwasher. Tenant responsible for maintaining properly. We repair equipment malfunction not related to tenant actions on our dime and those related to tenant actions on their dime.

3. I don't have any pools but the people I know that do have them hire their own pool maintenance and either include it in the rent or include it as a surcharge on the rent. None of the people I know that rent houses with pools allow the tenants to select their own maintenance for the pools. 

Dave,

Are you using a PM company or are you self managing? As for home warranty, I use Choice Home Warranty and they are pretty good.  You just have to push them for more and play that game.  As for appliances, it depends on why things are braking.  If the oven is 10 years old, than that is normal.  I would send someone to try to fix it and find out why it stopped working.  If it is the tenant's fault, then they should be responsible and deduct it from the security deposit (but I am not a lawyer) and that is why I pay people to manage the properties.  Same thing w/ the pool.  I would put it in the lease that the tenant needs to pay for upkeep like the chemicals and making sure it is clean.

Originally posted by @JD Martin :

1. If you have had to replace everything a few times over in 3 years you either have really old, crappy appliances or crappy tenants. I have had one existing appliance replacement in the last 4 years. 

2. We provide range, refrigerator, dishwasher. Tenant responsible for maintaining properly. We repair equipment malfunction not related to tenant actions on our dime and those related to tenant actions on their dime.

3. I don't have any pools but the people I know that do have them hire their own pool maintenance and either include it in the rent or include it as a surcharge on the rent. None of the people I know that rent houses with pools allow the tenants to select their own maintenance for the pools. 

1. Yeah I think it's a combination of both. I have a PM and let them do the work and didn't follow what appliances they were buying and learned an expensive lesson there. Needless to say I won't be using a PM going forward, I feel confident in handling on my own going forward and providing a better experience to tenants because of it. 

2. When you say tenant responsible for maintenance on appliances, how do you state that and have you had to prove anything that was tenant error?  I was thinking of adding a clause that states appliances are supplied for tenant to use but if anything malfunctions, they are responsible for the upkeep and if they replace they can take the item with them when they move out, etc. 

3. I like the idea of adding a surcharge or include in rent. Will do that on next round. 


 

Originally posted by @Josh Bakhshi :

Dave,

Are you using a PM company or are you self managing? As for home warranty, I use Choice Home Warranty and they are pretty good.  You just have to push them for more and play that game.  As for appliances, it depends on why things are braking.  If the oven is 10 years old, than that is normal.  I would send someone to try to fix it and find out why it stopped working.  If it is the tenant's fault, then they should be responsible and deduct it from the security deposit (but I am not a lawyer) and that is why I pay people to manage the properties.  Same thing w/ the pool.  I would put it in the lease that the tenant needs to pay for upkeep like the chemicals and making sure it is clean.

 I am currently using a PM company but will be self managing going forward.  I feel like PM and their vendors have caused more headaches and expenses then necessary. Have you had to do any big repairs with your warranty company? 

Originally posted by @Dave Kuether :
Originally posted by @JD Martin:

1. If you have had to replace everything a few times over in 3 years you either have really old, crappy appliances or crappy tenants. I have had one existing appliance replacement in the last 4 years. 

2. We provide range, refrigerator, dishwasher. Tenant responsible for maintaining properly. We repair equipment malfunction not related to tenant actions on our dime and those related to tenant actions on their dime.

3. I don't have any pools but the people I know that do have them hire their own pool maintenance and either include it in the rent or include it as a surcharge on the rent. None of the people I know that rent houses with pools allow the tenants to select their own maintenance for the pools. 

1. Yeah I think it's a combination of both. I have a PM and let them do the work and didn't follow what appliances they were buying and learned an expensive lesson there. Needless to say I won't be using a PM going forward, I feel confident in handling on my own going forward and providing a better experience to tenants because of it. 

2. When you say tenant responsible for maintenance on appliances, how do you state that and have you had to prove anything that was tenant error?  I was thinking of adding a clause that states appliances are supplied for tenant to use but if anything malfunctions, they are responsible for the upkeep and if they replace they can take the item with them when they move out, etc. 

3. I like the idea of adding a surcharge or include in rent. Will do that on next round. 

 

Mostly common sense. If a tenant breaks a smooth top stove by dropping something on it, for example, that's pretty easy to figure out. Things like refrigerator compressors going bad (often from running too much because of dirty coils) and similar are too hard to prove, so you just consider it a cost of doing business. 

We just list what appliances we supply. If we don't supply it, the tenant buys and maintains. If we supply it, we make repairs incidental to the unit not caused by negligence on our dime. No different than a heating system, where if we have to make a service call repair and the HVAC tech lists cause as "clogged filter/no filter" the tenant gets charged. 

 

Dave,

I have used them for a fridge, two dishwashers, washer, dryer.  They will try to deny claims and then low-ball you on value.  You just need to fight them.  I know in their contract HVAC is covered so that is the main reason I got the warranties.  

I have mixed opinions on PM.  As I see some of their invoices, I know they are cheating me and I know that is part of the business.  But I don't like dealing w/ tenants either.  Good luck.