LuciC
Posts: 32
Posts: 32
Posted:
Does anyone have guidelines for homeowners who rent properties?
Thanks
Thanks
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Rental Policy for Single Family Homes
Started by LuciC • 11 replies • 2422 views
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TimB4 (Tennessee)
Posts: 21,059
Posts: 21,059
Posted:
We require that a copy of the lease be given to the Association and we use to provide a letter to the renter advising them of general rules. However, we quit doing that after it was pointed out that this is the members (landlords) responsibility. It was decided prior to me being on the Board. However, we still send any violation notices to both the renter and the member.
GlenL (Ohio)
Posts: 5,491
Posts: 5,491
Posted:
Luci when you do your rental policy here are some things I would suggest but I would recommend that you have an attorney draft it to make sure it complies with Arizona HOA and landlord tenant law. Most of these would have to be required language in the lease itself or as an addendum to the lease to make them valid.
1. The owner is responsible for providing the tenant with a copy of the governing documents.
2. Make the minimum rental term at least 6 months preferably a year.
3. 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 yearly 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.
4. 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.
5. Give the Association the power to initiate eviction actions against problem tenants with the cost to be born by the homeowner.
1. The owner is responsible for providing the tenant with a copy of the governing documents.
2. Make the minimum rental term at least 6 months preferably a year.
3. 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 yearly 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.
4. 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.
5. Give the Association the power to initiate eviction actions against problem tenants with the cost to be born by the homeowner.
Studies show that 5 out of 4 people have problems with fractions
DonN (Michigan)
Posts: 357
Posts: 357
Posted:
LuciC
In my view, you first have to determine whether or not the CC&Rs or Arizona law authorizes a third party (the owners association) to regulate rental of property that the association doesn't own.
That may even apply to dues and assessments for which the obligations are defined in the CC&Rs.
In my view, you first have to determine whether or not the CC&Rs or Arizona law authorizes a third party (the owners association) to regulate rental of property that the association doesn't own.
That may even apply to dues and assessments for which the obligations are defined in the CC&Rs.
Don Nordeen
Governance of Property Owners Associations
Governance of Property Owners Associations
JohnB31 (Florida)
Posts: 10
Posts: 10
Posted:
We only allow the property to be rented 1 time a year (12 months) Interview the renters, and have valid lease.
DianeW (Maryland)
Posts: 147
Posts: 147
Posted:
Can someone explain what the purpose of the Association interviewing the potential tenant is? Can the Association veto the potential tenant? Is that even legal? The ultimate responsibility lies with the owner I would think.
I do understand getting a signed statement that the CCR's and such have been provided to the tenant. That could be done by the owner with the tenant though without having the tenant meet with the Board.
I do understand getting a signed statement that the CCR's and such have been provided to the tenant. That could be done by the owner with the tenant though without having the tenant meet with the Board.
GlenL (Ohio)
Posts: 5,491
Posts: 5,491
Posted:
Diane about the only place you still see the interview as part of the policy is in your neck of the woods and it was put there as a veiled attempt to keep people of color and other undesirables out. Most that still do it simply use that time to familiarize the tenant or buyer with the CC&R's. If the BOD were to deny someone the ability to rent based on the interview they would be opening the HOA to liability and if the person denied were a person of color the wrath of HUD. About the only place a person could legally be denied tenancy based on a Board interview is in a CO-OP which is a whole different kind of animal.
Studies show that 5 out of 4 people have problems with fractions
DianeW (Maryland)
Posts: 147
Posts: 147
Posted:
Thanks Glen. We have a small place in NW GA that tried passing that a year ago and plans on readdressing the issue this year. (My negative vote caused it to fail but I don't think it will this year.)I read "discrimination" in it just as you do. My place here in FL allows renters with no problems whatsoever. Subtle intimidation to try and prevent renting in the first place is the way I see it.
RobertR1 (South Carolina)
Posts: 5,164
Posts: 5,164
Posted:
DianeW,
If there is intent to discriminate, it would not come from the documents, it would come from individuals and I doubt there is much can be done. I hear you are saying the documents can be abused, but to just try and do this every time it occurs in an HOA, is impossible. Federal laws must be followed and the protection and enforcement powers in those laws are real. However, I have always felt, that a required session, held by the association to explain the covenants and introduce new owners to the neighborhood facilities, would benefit all. Some associations have welcoming committees, and some have interviews and some do nothing. Ideally, Board recognition and document presentation would benefit all. I would think this could be done with a BOD appointment, and not necessarily Board members.
If there is intent to discriminate, it would not come from the documents, it would come from individuals and I doubt there is much can be done. I hear you are saying the documents can be abused, but to just try and do this every time it occurs in an HOA, is impossible. Federal laws must be followed and the protection and enforcement powers in those laws are real. However, I have always felt, that a required session, held by the association to explain the covenants and introduce new owners to the neighborhood facilities, would benefit all. Some associations have welcoming committees, and some have interviews and some do nothing. Ideally, Board recognition and document presentation would benefit all. I would think this could be done with a BOD appointment, and not necessarily Board members.
RaihanK1 (Arkansas)
Posts: 12
Posts: 12
Posted:
A new study conducted by tracking firm Realty foreclosure runway looks the most profitable to rent houses. If you are moving soon and renting a house, you are likely to face a choice between renting an apartment,single family homes for rent
MatthewW4 (Arizona)
Posts: 500
Posts: 500
Posted:
Why is it that the spammers resurrect old threads to put out their message?
MelissaP1 (Alabama)
Posts: 13,836
Posts: 13,836
Posted:
Remember the HOA does not actually own the homes. They can't interfere with the owner's contracts in most states. It is up to the mortgage companies who loaned the money to put on rental/use of the property. Only Florida allows for the renter to pay the dues on the owner behalf if the home is at risk of foreclosure. You need to check your state laws to see if your HOA can put rental restrictions in. If they do, what punishment do they get? What is the hardship clause?
Your best bet is to educate your owners on putting in their leases that if they do not follow the CC&R's/HOA rules, the owner can evict them. It is not written in most off the shelf rental agreements. Having that clause in the lease agreement will protect the owner and allow them to evict renters who violate the rules. Since the owner is the one with their feet to the ground with the HOA. It would be the owner who would receive the fines for their renter's violations. So having the owners make sure to put this in is most likely the best real world approach one can do.
Renter's have rights too. So an owner can not arbitrarily evict their tenant nor can the HOA. It takes 2 10 working days notices in my state to evict a renter legally. That still has to be due to a lease violation. Which if they didn't have the reference to obeying the HOA rules, the owner could not do. It would have to be for the other typical lease violations. A renter could essentially go up to a year without paying rent without being evicted. All they have to do is respond to the eviction notice to drag it on. So not even the owners can kick out a tenant even if they wanted to.
Your best bet is to educate your owners on putting in their leases that if they do not follow the CC&R's/HOA rules, the owner can evict them. It is not written in most off the shelf rental agreements. Having that clause in the lease agreement will protect the owner and allow them to evict renters who violate the rules. Since the owner is the one with their feet to the ground with the HOA. It would be the owner who would receive the fines for their renter's violations. So having the owners make sure to put this in is most likely the best real world approach one can do.
Renter's have rights too. So an owner can not arbitrarily evict their tenant nor can the HOA. It takes 2 10 working days notices in my state to evict a renter legally. That still has to be due to a lease violation. Which if they didn't have the reference to obeying the HOA rules, the owner could not do. It would have to be for the other typical lease violations. A renter could essentially go up to a year without paying rent without being evicted. All they have to do is respond to the eviction notice to drag it on. So not even the owners can kick out a tenant even if they wanted to.
Former HOA President
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