Tenancy-at-Will Agreements -- Better for landlord or tenant?

[Samantha Diego]

I am new to the Houston, TX area and have been looking at some private rooms to rent/sublease and some landlords/subleasors don't require signed leases from tenants (just for them to pay month-to-month). I assume this is a "tenancy-at-will" agreement and that is completely legal.

My questions:

1. What are the downsides to tenancy-at-will agreements?

2. What are the upsides to tenancy-at-will agreements?

3. Do tenants on tenancy-at-will agreements have the same exact rights as tenants who sign leases?

4. Do tenancy-at-will agreements allow tenants more flexibility in what they do while they live in the building?

I am actually planning on renting a private room in Houston and am not sure if renting on a tenancy-at-will agreement is better for me than having to sign an actual lease. Will a tenancy-at-will give me more freedom, more flexibility, and less restrictions with the same tenant rights as if a signed a written lease? Also, do I just write the landlord/subleasor a check with the property address and month on the check as payment? I just don't want to be giving up any rights or have any disadvantages as a tenant by renting on a tenancy-as-will agreement. 

[Shamsud-Din J.]

Hi Samantha,

I own a property management company, Blue Meadow Properties, in Houston. We have taken on some at-will tenants for home owners in the past. I'll answer your questions from both perspectives (tenant and landlord), then post a short opinion on tenancy-at-will.

1. Landlords and tenants both assume more risk when there is no written lease agreement. For tenants, the landlord needs no reason to evict you and can evict on very short notice (3 days in Texas). For landlords, you have no protection (other than the law, which is minimal) against bad tenant behavior or low standards of cleanliness and maintenance. Landlords don't have a right to enter the property without the tenants permission if there is a tenancy-at-will. Also, for both landlords and tenants, it becomes easy for the other party to dispute agreed upon payment amounts for rent and deposit.

2. Landlords and tenants both have the freedom to remove themselves from the agreement very easily.

3. This depends on whats in the lease agreement. No, tenants do not have the same exact rights if the lease agreement specifically limits their rights. However, despite what's in an agreement, the state laws take precedence. If a landlord tries to limit a tenants rights in way that is illegal, the lease agreement will not stand regardless of whether the tenant agrees to it or not. There are too many details to get specific here. It's best to be familiar with what the law says you can agree to and what it says you can't.

4. Definitely, yes! There's no written agreement to hold them accountable to anything.

OPINION:

Since most lease agreements are written by property managers, landlords, owners, or, their attorneys, lease agreements are almost always worded to solely protect the landlord's/owner's interests. The guarantee of having shelter for set time period is the bargaining chip the landlord gives the tenant in exchange for signing over the right to inspect the property, and the tenant's responsibility to maintain the property.

Become a tenant-at-will if:

- you don't or can't live according to stipulations that are in the lease agreement,

- want privacy from inspections, and

- can move on VERY short notice if needed.

Otherwise, you may want to sign a lease agreement.