Renting your
home can be a great investment, but there are some things that you need to know
before you commence such an undertaking. Prior to renting, be aware of the
following:
1. Are you renting a mobile home, a
condo or a house?
Why is this important?
The Florida Statutes have specific requirements for each type of
housing. Familiarize yourself and understand what obligations you are mandated
to do under Florida Law. The statute
defines important information as to what a Landlord is required to provide a
tenant, information regarding the security deposit, inspections of property and
the eviction process, if necessary.
2. Are you planning to write a lease and
how long do you want a lease to run?
It is always recommended that all lease agreements should be in
writing. All parties benefit from a
written lease agreement, which sets out lease terms regarding pets,
landscaping, fees, utilities, early termination, etc. When drafting a lease, it is important to get your lawyer involved. Its best to have your lawyer review the lease
agreement in the beginning so they can make sure that your home and rights are
protected and safeguarded from potential litigation. You also want to make sure the terms are
legal and current under Florida law. Invest in the beginning, so you can avoid
high legal fees in the end.
3. Thinking of hiring a property
manager?
Property managers are a great asset when renting out property. They are
the main contact with the tenant(s) and handle most of the tenant issues and
questions. However, you need to read the contract carefully when
entering an agreement with a property manager.
Make sure you read and understand the terms of the agreement. What are
the property manager’s duties? When can they act on your behalf? When do they
need your consent? What are their fees? How do I terminate the relationship if
needed? What are their duties and expectations if there is ever an eviction?
Etc., Etc. REMEMBER, a property manager
is your agent when handling
the rental property, meaning that anything they do or don’t do will always
remain your responsibility/liability. For
example, some bad eggs have been known to rent the property, “hold the security
deposit” and vanish without a trace.
Even if this happens, the Landlord is still obligated to comply with
Florida law in regard to the security deposit. Simply stating that you don’t
have the money to give back the Tenant’s security deposit is not going to be
much of a defense in court.Make sure to get recommendations.
4. What are your expectations with a
rental property?
Renting property is typically left to investors, so you need
to be realistic. When renting your home,
you will have to realize it is no longer “your home” and is now a rental
business. Research the terms “normal
wear and tear” because your definition is likely very different than the
court’s definition and case law. Do not
expect renters to maintain the home in immaculate condition. If you’re lucky,
you’ll get a great renter, however there are more bad than good. Create a financial cushion for repairs and
cleaning in-between each rental agreement.
When a renter is behaving badly, make sure you provide them with written
notice and give them an opportunity to cure.
If they fail to do so, this will only help you should you ever need to
go to court.
This article is not intended to discourage rental properties.
The decision to rent can be a good one, but far too often individuals are overly
excited to become landlords or desperate to rent out their properties due to a
variety of financial circumstances. Please do not let excitement or desperation
cause you to make mistakes that lead to more problems. Be smart, do your
research and consult with an attorney that is familiar with Landlord Tenant
Laws. If you would like to consult with an attorney from the Law Office of
Pamela J. Helton, please call the office today at (352) 243-9991.
Written by: Attorney Jennifer Sinker
Written by: Attorney Jennifer Sinker
