Drafting my first lease. Anyone have recs for specifics to add?

Question

My first SFH BRRRR project in Chicago west burbs is finally wrapping up. I'm working with an attorney who provided boiler plate "Illinois Residential Lease Agreement" and "Mainstreet Board of Realtors Residential Lease". I've also used the Brandon Turner Book on Managing Rental Properties "Rules and Regulations" sheet that is included with the book as a guide to add pet, smoking, parking details, etc that the lease will refer to, once approved by the attorney.

Does anyone have any specific points they've added to leases that they have found helpful down the road? I'm hoping to get this as close as I can to right the first time around and any advice would be greatly appreciated.

Thank you

Mike

Does anyone have any specific points they've added to leases that they have found helpful down the road?  I'm hoping to get this as close as I can to right the first time around and any advice would be greatly appreciated.

Thank you

Mike

Nicole Heasley Beitenman · Answer

1) We don't allow parking on the lawn. Driveway or street parking only.

2) We don't allow cigarette butts on the lawn or driveway. They have to be disposed properly.

3) Tenants must have an active phone number at all times and must alert us if the phone number changes.

4) If we snake a drain and find diapers, feminine hygiene products, or anything else that shouldn't be in there, the tenant pays.

Account Closed · Answer

If you are working with an attorney that provided you lease templates, wouldn't your attorney be the best qualified to answer your question?  He or she should know the state requirements and what to include in the lease agreement to best protect you and your property without violating any tenant rights.  Some states, like Nevada, have state mandated forms that property management companies use.  Does your state have any such thing?

It is always good to ask the opinion of others to help guide us through new experiences.  Just remember, at the end of the day, whatever you decide - you are legally responsible.  You can pay your attorney a few dollars today and get a strong rental agreement today or try your luck using a template, go on the advise of others, and potentially pay your attorney a lot more money at a later date for getting it wrong.

John Warren · Answer

@Michael Downs the mainstreet organization of realtors lease and other realtor board leases are a great place to start. I wouldn't do a whole lot other than adding a rules and regulations type of page. Run it by your attorney, but the the reality is most attorneys will tell you those won't do much good if you have to go to eviction court anyways. You will just be trying to get possession back so you don't burn months and months of time. I personally have been using my realtor board's lease, and it is fine (NSBAR). I used to use the MORE lease when I was with them in the past. If you are in Chicago proper then you should probably use Chicago Association of Realtor's lease.

George Skidis · Answer

IN Chicago and Cook County the rules are different than the rest of the state. Where is your attorney located? Jane Garvey runs the Chicago Creative Investors Association. They meet on the 3rd Sunday of the month. Jane is a veritable FOUNTAIN of information. Look them up, join here group and then that information will overcome your concerns.

Whatever changes you make to a lease make sure an attorney familiar with that locality reviews and approves it.

Michael Downs · Answer

Thanks

Mike

Debbie C. · Answer

@Michael Downs

You are already using your attorney for the basic lease, so just think of anything unique to your house that could be an issue you want to address, and have your attorney add the proper wording to your lease to keep it legal.

An example is several of my SFH have an alley behind the house. I had issues with the tenants regarding items thrown out there etc. And I had the city send me letters because of complaints. So I addressed that in the lease at renewal.

Also I have added to the lease that the tenant pays any costs or fees for notices and/or fines for violations of the lease.

That way if the city fined me, I would send the tenant a copy of my notice and add the costs to the next month's rent.

Good Luck

Debbie

Rick Stein · Answer

Use your attorney's lease. YOU are not an attorney. Pay for a strong lease today  and use it.

Drafting my first lease. Anyone have recs for specifics to add?

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