Purchasing rental single-family homes can be a thrilling and fulfilling endeavor. But as difficult as it may seem, owning a property is a serious business, and there are a lot of things you should know before renting out your space.
Comprehending the fundamentals of leasing strategies and legislation that applies to both the proprietor and the lessees is imperative for a novice rental property proprietor. We have compiled a comprehensive guide outlining the fundamentals in order to assist you in leasing your very first property. You can have a great first experience as a landlord managing a rental property by adhering to these easy rules.
Mastering Renter Screening
Acquiring all the information you need about a potential tenant is crucial to guaranteeing that you choose the right person for your rental property. One way to accomplish this is to request that they complete a rental application that includes the names and birth dates of all intended occupants, including minors. It’s also critical to request at least three previous rental references and a recent employment history.
In addition, getting the Social Security numbers of all adult tenants and conducting background checks on them can reveal important details about their financial and personal histories. You can reach an informed conclusion and locate a suitable tenant for your rental property by adhering to these steps.
Before consenting to a rental applicant’s request to lease your property, verify the information they provide. You can accomplish this by getting information about their rental history by getting in touch with their prior landlords. Thorough research prior to signing the lease can assist you in averting unfavorable surprises in the future, despite the time investment involved.
Ensuring Non-Discriminatory Practices
It is imperative to avoid any form of discrimination, whether deliberate or inadvertent, when marketing to and screening prospective tenants. Rental discrimination against tenants on the basis of their race, sex, color, national origin, religion, handicap, or familial status is explicitly prohibited by a number of federal statutes. These laws are something you have to know about and always abide by.
– Fair Housing Act (FHA): Ensures that no one is subjected to housing discrimination on the basis of their race, color, national origin, religion, sex, status as a family member, or disability. The terms and conditions of the tenancy, tenant selection, and advertising are all subject to the FHA’s regulations.
– Americans with Disabilities Act (ADA): It’s crucial to remember that the Federal Housing Administration (FHA) is prohibited from discriminating against individuals with disabilities by law. Landlords are required to provide reasonable accommodations for people with disabilities if they own a building with four or more units. Implementing grab bars in restrooms and providing accessible parking spaces are examples of such measures.
– Age Discrimination in Employment Act (ADEA): A federal statute that shields people 40 years of age or older from discrimination at work. Age-based housing discrimination is likewise forbidden by the ADEA.
– Equal Credit Opportunity Act (ECOA): A prohibition on discrimination in credit transactions, including rental transactions, is guaranteed by this federal legislation. Landlords are forbidden by the ECOA from treating people unfairly on the basis of their race, color, national origin, religion, sex, marital status, age, or because they are recipients of public assistance.
It’s crucial to study state and local laws in addition to federal law. Local laws might establish additional protected classes.
It is crucial to avoid discriminatory language when composing rental advertisements. This includes declaring that you will not rent to government assistance recipients, families with children, or elderly people. It is imperative to conduct a fair evaluation of candidates throughout the screening process, relying solely on the information they have submitted. Potential tenants can be safeguarded against discrimination by maintaining an air of professionalism and utilizing an impartial screening system.
It’s critical to refrain from assuming that a person with a disability isn’t a suitable fit to rent your property. Property owners are required by the Federal Fair Housing Act to provide their tenants with “reasonable accommodations“. Reasonable accommodation is “a change, exception, or adjustment to a rule, policy, practice, or service that may be necessary for a person with a disability to have an equal opportunity to use and enjoy a dwelling.” Accommodations shouldn’t be a justification for turning away a potential tenant if they fit the requirements to rent your property. In exchange for returning the property to its original state when they vacate, the renter will cover the cost of installing and paying for the requested accommodations.
Even if your rental policy strictly prohibits pets, you may still need to make accommodations for service and emotional support animals. It is crucial to acknowledge that rental pet policies do not apply to service and emotional support animals. Consequently, if a tenant chooses to keep a service animal on the property, no additional rent or fees may be assessed.
It can be difficult to be aware of all the rules and recommended procedures for renting out real estate. Why not entrust this duty to a Bethany property manager? Real Property Management Resources provides leasing and screening services that are transparent and nondiscriminatory, assisting our rental property owners in finding the most qualified tenants for their properties. Contact us online today or at 405-787-4429 to learn more.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.