Rentals in HOA

Started by LauraD • 5 replies • 1163 views

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LauraD (Arizona)
Posts: 18

Posted:

We are in Arizona & reviewing our CC&R's and By-Laws. We are being advied to :
"focus on rental issues"

In part the news article states:
"The prospect of renters can cause potential problems for neighbors and for an HOA
on issues concerning noise, recreational vehicles and visual eyesores.

Reading from “Strategies & Solutions for a Tenant in an HOA,” Riddle pointed out
that it’s necessary to provide enforceable language in an association’s CC&Rs
(covenants, conditions and restrictions) and/or its bylaws.

It was suggested that an HOA should create a standard-form lease covering the
basics: barking dogs, a clean yard, minimum length of rental, maximum occupancy,
etc.

Suggested language should say:

• The owner is responsible for actions of its tenant.
• The tenant is subject to the same rules and regulations as the owner.
• A minimum rental period should be stated to avoid transient occupancy.
• A written lease or rental agreement between owner and tenant should be required.
• The lease should contain language that the tenant has received a copy of the HOA’s CC&Rs and Bylaws and agrees to abide by them.
• The lease should state occupancy limits.
• A copy of the lease agreement should be filed with the association and contact information should be provided in the event the association needs to reach the homeowner.

Has anyone experienced this & would you share your CC&R language/terminology?

GlenL (Ohio)
Posts: 5,491

Posted:

Laura while most renters are fine upstanding people (most of us here probably started off renting), it is advisable to take steps to prevent problems. Right now the biggest renter abuse seems to be from landlords in foreclosure who make these poor people put down large security deposits and collect rent until the sheriff shows up with an order for the unsuspecting renters to vacate forthwith. In addition to the ones you have listed I would suggest a couple more which IMO should be mandatory language in the lease.

Add something to the effect of if the homeowner becomes delinquent with their assessments then the Association can collect them and any past due amounts directly from the tenant and the owner must credit the money paid by the tenant as rent. In other words if your monthly assessment is $150.00 and the H/O is delinquent then the BOD collects the $150.00 from the tenant directly. When the tenant sends the owner his rent minus the $150.00 the owner must credit it as if the tenant paid him in full.

I would also include language that if you have amenities (pool, tennis court etc.) the owner either assigns the amenity to the tenant and cannot use it for the term of the rental or keeps it for their self and the tenant can't use it.

Give the Association the power to initiate eviction actions against problem tenants with the cost to be born by the homeowner.

And finally when you have the whole thing drafted have it looked over by an attorney to make sure it doesn't violate the landlord - tenant law in your state and adequately protects your Association as much as possible.

Studies show that 5 out of 4 people have problems with fractions

MaryA1 (Arizona)
Posts: 7,043

Posted:

Laura,

Rather than suggesting the board create a "standard-form lease", IMO, they should definitely adopt a rental policy that would include all the points you listed. My assn has such a policy, that includes all these points. Glen suggested giving the board the power to initiate eviction action. This would be fine if the board was careful to follow the rules of the landlord tenant act. The city of Glendale has an ordinance that allows immediate eviction for drug or other illegal activity.

EllenS1 (Florida)
Posts: 1,148

Posted:

Laura,

This sounds like a good idea but our covenants already cover all these things and it is the OWNER who is responsible to see that their tenant abide by the covenants. We have a welcome letter including the more important covenants (most owners don't even read them) and deliver them to new owners and renters alike.

CareyD (Indiana)
Posts: 15

Posted:

I have a lease that we used in our HOA for rental units. If you could forward your contact information to [email protected] I can send it to you. Hopefully it help.

SusanW1 (Michigan)
Posts: 5,202

Posted:

I would suggest a minimum rental rate be enfroced, so as to prevent "slum lord" rental rates, which MAY draw some undesirables into the complex.

Sorry to be blunt, but that's the reality of the situation. Low rental rates MAY attract certain people . . .

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