It makes sense for tenants to take out renters insurance that will provide them with coverage for any loss or damage suffered to their personal property, including liability coverage for any injury suffered by anyone, while on the rental premises. Studies show, approximately, one third of tenants living in rental properties carry insurance, while the others who do not, place themselves at considerable potential financial risk.

A common fallacy amongst renters is that since their landlord carries insurance, there is no need to take out their own coverage. Unfortunately, this is not true. While, your landlord may have insurance, his / her policy typically, applies only to the physical structure of the building and common areas, if any. However, it does not cover a tenant’s property, or injuries that occur within rental units due to tenant negligence. While, the landlord’s insurance may cover a broken pipe or a backed up sewer, or a building that burns down. It covers any damage to the landlord’s building or property, but the coverage does not ordinarily extend to any tenant property that is damaged or destroyed. As well, your landlord’s insurance policy does not cover any injuries caused by another tenant’s pet.

Even if, a tenant has a roommate who carries renter’s insurance, his / her policy will not cover the property of the other. While, sometimes a parent’s homeowner’s insurance policy may cover the property of their student son / daughter living in a college dormitory, students should check the language of their parents’ policy, before assuming their property is covered, as well. Even where, coverage is available through a parent’s insurance policy, it will rarely extends to off-campus housing.

Therefore, if one is a renter, it is best to assess one’s property and ask oneself what it would take to replace it, in the event it is lost, destroyed, or stolen. That gives a fair idea of the amount of renters insurance one should take out. Simply, get in touch with an insurance agency that deals with such coverage, and based on the estimated value of your property, it will come as a pleasant surprise to find how affordable it can be.

Instead, of relying on a lawyer who charges an arm and a leg to decode some of the legal clauses, one typically finds residential leases or rental agreements, it is important landlords / tenants alike should familiarize themselves with definitions for a number of common words and phrases that often arise in the context of the landlord-tenant relationship.

1. Abandonment – it is a word used for a tenant’s conduct that demonstrates his / her intention to give up residential rights to the rental premises, without notifying or getting the landlord’s authorization or agreement. For example, if a tenant removes all of his / her personal property from his / her rental unit, and is not seen in or around the rental premises for two weeks, the landlord can safely conclude, the tenant has abandoned his / her rental property.
2. Constructive Eviction is a process employed by unscrupulous landlords, which involves failing to act on tenant complaints / problems, or through interference with a tenant’s possession of rental property to such an extent, it is made unfit for reasonable occupation.
3. Eviction is a court-based process allowing landlords to remove an unwanted tenant from his / her rental property, with good cause and after following a number of procedural requirements. In some states, the eviction process is also given the title of ‘unlawful detainer’.
4. Fixture in a residential rental context is personal property owned by a tenant, but made a permanent part of the property he / she is renting, so that removal is impossible or impractical. For example, if a tenant installs custom double-paned windows, these would amount to being a fixture. Ordinarily, a fixture remains on the rental property even after the lease or rental agreement is up and has been terminated, although landlord and tenant may come to some agreement as to compensation.
5. Landlord is someone, who owns real property and who through a lease or rental agreement, agrees to rent all or a portion of the property to another person (a ‘tenant’) for his / her use, usually for a set timeframe, and in exchange for a fixed sum of money per month.

Tenants should remember before signing the lease for a new rental apartment or unit that they can avoid problems later on, by ensuring their new landlord is a good ‘un, and one who doesn’t make life hard for his / her tenants. Good behaviour and careful planning will make for a much better landlord-tenant relationship, as well as, help avoid security deposit conflicts when one moves out.

No matter how well-maintained and nice one’s apartment may be, it can be unpleasant if you have to deal with a terrible landlord. An apartment that is a bit weathered, but has a good, responsive landlord can make it a pleasant place to call home. As well, knowing one’s rights, along with a few preventative steps can protect a tenant and provide some assurance regarding his / her new tenancy.

However, the first thing a tenant should do before signing the lease is to thoroughly inspect the apartment or unit that has caught your eye and you would like to rent. Don’t go by what the landlord says is a comparable unit, or an apartment with an identical floor plan. Keep in mind, savvy landlords, as a rule show prospective tenants only well-maintained units as models, and there is no guarantee the unit you rent will be in a comparable condition. Inspecting rental units is for the purpose of identifying and having fixed any major problems before one signs the lease and moves in. It is important from the point of view that a landlord cannot (either by accident or by intent) attempt to charge you for pre-existing defects, when eventually, you move out.

If, one identifies any problems with the apartment or rental unit, bring them to the attention of the landlord. In case the problems cannot be fixed before you move in, ask for written confirmation, as to when the repairs will be made. As well, ask the landlord to give in writing the problems that existed before you moved in. If, you cannot get a written confirmation of the existing problems, you can yourself make a list and have the landlord or his / her agent sign and date it, and attach it to the rental lease for your record. Just remember, don’t go by promises, get everything in writing.

Some state jurisdictions make it mandatory for landlords to give tenants a form on which defects in the apartment are to be recorded, and returned to the landlord. The landlord too, completes a similar form on a tenant’s moving out. The purpose of this exercise is to ensure tenants are charged only for damages they are responsible for, and for those caused by others.

Tomorrow, we’ll discuss a little about what other tenants thing and talk a bit about local laws.

Often, landlords have to wrestle with problems created by tenants that range from not paying rent, to posing problems for other tenants, to misusing and damaging their rental unit, to indulging in conduct that makes it unwise to continue the landlord-tenant relationship. Further, certain other issues, such as, creating health and safety issues or a tenant filing for bankruptcy generates more headaches for a landlord.

Health and Safety Issues If, a tenant has damaged his / her rental unit or created a potential health hazard, a landlord is right in wanting to evict the tenant responsible for both. However, instead of going in for litigation, it is a good idea to either ask the tenant to repair the damage or correct the hazard. However, most landlords do proceed with conventional evictions against tenants who create this type of situation, even though the problem may have been resolved.

When a Tenant Files For Bankruptcy What a landlord should be aware of is that when he / she starts eviction proceedings against a tenant, and the latter proceeds to file for bankruptcy, an ‘automatic stay’ will be granted, which will prevent continuation of eviction proceedings till such time the bankruptcy is resolved, or the bankruptcy court lifts the stay, thereby permitting the eviction proceedings to continue. In this case, bankruptcy can prevent a pending eviction, and result in full or partial discharge of a rent arrearage. Note, however, a bankrupt tenant is responsible for paying any new rent obligations that arise from continued tenancy after filing for bankruptcy. What the tenant should keep in mind is that failure to keep current with post-petition rent payments may result in eviction.

On that cautionary note, another fair bit of advice, avoid expensive landlord / tenant litigation, by taking necessary precautions, such as, screening tenants and conducting background checks on prospective tenants. A simple click of the mouse and any landlord or property manager can visit www.e-renter.com for tenant screening and background check services. www.e-renter.com, the best tenant screening agency in America!

Often, landlords find themselves trapped in unpleasant situations, where eviction is one possible solution to get rid of problem tenants. However, they may be surprised to find some tenants responding with a counter-claim against a landlord’s action for eviction. A counter-claim may contend the eviction should be stopped, since it is nothing but a ‘retaliatory eviction’, resulting from a complaint made by the tenant to a government agency about his / her landlord violating housing rules and regulations. However, for these complaints to be valid, they must be made before a landlord commences an eviction process, and may not provide much of a defense against eviction for non-payment of rent. But, a counter-claim could seek damages for a landlord’s violation of consumer protection laws, or even an abatement in rent due to problems with the apartment.

While, some states do not have adequate protection laws for tenants, in other jurisdictions tenants have the following rights:
* Proper heating;
* Hot and cold running water;
* Proper garbage removal i.e. from the designated receptacle, e.g., the apartment building’s dumpster;
* The right to common areas, such as, lobbies, stairways, halls that are well maintained and clean and safe;
* Tenants also have the right to housing that is in compliance with state and local building codes and housing regulations.

An action for a ‘rent abatement’ is a request that the court allow the tenant credit against the rent, for that period of time, when any of these rights were not fulfilled, or when the landlord refused to comply with the lease. A tenant could, either request a small percentage be deducted for a minor violation, or request the entire rental amount be abated, if the apartment was effectively rendered uninhabitable by the landlord’s violation.

Landlords can also be subjected to consumer protection actions. In some jurisdictions, a landlord may become a subject to a claim for any cleaning expenses he / she may deduct from a damage deposit. In others, in case a landlord did not properly escrow a tenant’s damage deposit, or if the tenant was not notified of alleged damages within a fixed period of time after the tenant vacated the premises, the landlord may have to return the entire damage deposit. Please note that if the tenant does not give a forwarding address to the landlord within a few days of moving, any notice requirement will likely be deemed waived.

On that cautionary note, another fair bit of advice, avoid expensive landlord / tenant litigation, by taking necessary precautions, such as, screening tenants and conducting background checks on prospective tenants. A simple click of the mouse and any landlord or property manager can visit www.e-renter.com for tenant screening and background check services. www.e-renter.com, the best tenant screening agency in America!

Before, renting an apartment or unit, if possible, it makes sense to have a chat with other tenants about how they get along with their landlord and whether their experiences have been on the positive side.

Likewise, if the apartment you are going to move into is still occupied, why not have a quick word with the outgoing tenant. Obviously, the best idea would be to chat in private, instead of in the presence of the landlord or his / her employees, who just might listen in. Chatting with other tenants will provide insight into, whether you have a landlord who responds to tenant problems, is conscientious about proper maintenance of the premises, and whether there are issues, such as, noisy tenants, the sound of planes landing and taking off from a nearby airport, or the choo-choo of trains on a rail track close-by, or crime, including frequent car break-ins in the parking lot. These are issues one does not observe when giving an once-over, when out to rent an apartment or unit.

After selecting an apartment or rental unit that a tenant wishes to move into, while legal protections have been extended to tenants, they can vary significantly from state to state, therefore, it would be wise for a tenant to check out, if there is a local tenant organization or union, which can provide information on local laws and policies. If, the selected apartment or unit falls within a jurisdiction with limited protection for residential tenants, it would be best to ensure adequate protection in the rental lease, itself. Include a clause about landlord responsibilities, such as, seeing to it that your unit and common areas are properly maintained. Better safe than sorry!

Often, landlords are faced with periodic tenancies, which can arise with or without any rental lease, and there is no obligation on the part of either landlords or tenants to continue a tenancy past any given rental period.

A one-year lease requires a tenant to pay rent on a monthly basis, however, it also means he / she is under obligation to pay rent till the expiry of the entire lease period. Similarly, if a landlord wants to evict a tenant during the duration of a lease, he / she has to give reasonable cause for terminating the lease. Periodic tenancies allow both landlord and tenant to terminate the tenancy with proper notice, usually a full rental period. On the expiry of a lease, if the tenant does not move, typically the tenancy automatically gets transformed into a periodic tenancy, based on the period between rental payments i.e. if rent is due once a month; it allows either landlord or tenant to terminate the tenancy by giving a month’s notice.

Instead, of going in for a rental lease, there are certain advantages and disadvantages to having a periodic tenancy instead of a lease. While, a lease protects tenants against capricious eviction, as well as, limiting rent increases during the term of a lease, periodic tenancy allows a tenant considerable flexibility in determining when to end his / her tenancy.

In case, a tenant stays past the expiry of a lease term without his / her landlord’s permission, he / she is called a ‘holdover tenant’. Depending upon the jurisdiction, a holdover tenancy is usually treated as a periodic tenancy, particularly, if the landlord has accepted a rental payment from the tenant after his / her lease has expired. However, it is within the legal rights of a landlord to decline to accept payment for any post-lease residence, and file a suit for evicting a holdover tenant.

For tenant / landlord complaints against each other, both landlords and tenants should make a written record when / to whom the complaint was made, and when the issue was resolved, and whether the resolution was satisfactory. If, a landlord / tenant has problems that might cause a tenant / landlord to ask for early release from a lease, or seek a lowering of rent, he / she should provide written notice about the problem, including what action he / she intends to take if it is not remedied. In case, a good relationship exists between landlord / tenant, it is sufficient to report minor problems over the phone or in person. If, the problems are not fixed, and a lot of reported problems are not being adequately resolved, the tenant / landlord should instead choose to report them in writing. It is best practice to report all problems in writing, though it is wise to weigh that against the potential for damaging a positive landlord / tenant relationship by seeming heavy-handedness.

Often, landlords are trapped in tenant / landlord situations that has them wrestling with a number of issues from non-rent paying tenants to lease violations, to creating situations, which makes it unwise to continue a landlord-tenant relationship. While, laws governing evictions can vary significantly state wise or locally, landlords who find themselves in the above-quoted unpleasant situations will find the following suggestions helpful.

If, you own several housing units, then you would be wise to retain a lawyer, who will not only advise you on eviction issues, but also handle all legal action. Make a flat fee arrangement, rather than having to pay for each new case, which is a far more expensive way to go.

Lease Violation
It is always a good idea on the part of a tenant to review the lease to check if the accusation of violating a lease provision is correct. In the event, the tenant is in violation of the lease, he / she should consider either rectifying the violation, or discuss making an exceptional case, or negotiate with the landlord about the possibility of an amicable termination of the lease. At this point, it is best to note that lease violation means, a landlord can evict you, as well as, charge rent for the period following your eviction, up to the lease expiry date or till a replacement tenant is found.

Take for example, if there is a No Pets clause in the lease, why not negotiate an additional cleaning fee or monthly rent premium paid to the landlord for his / her permission to keep the pet. Or, as it truly happened, a tenant in exchange for being allowed to keep her cat, made a deal with her landlord to live in an apartment with tattered carpeting. The landlord saved on the cost of replacing worn out carpeting, without having to worry about the cat damaging a carpet already due for replacement.

On that cautionary note, another fair bit of advice, avoid expensive landlord / tenant litigation, by taking necessary precautions, such as, screening tenants and conducting background checks on prospective tenants. A simple click of the mouse and any landlord or property manager can visit www.e-renter.com for tenant screening and background check services. www.e-renter.com, the best tenant screening agency in America!

The government has legislated both federal and state anti-discrimination laws that put a check on landlords, and limit what they can say or do, while selecting tenants for their rental properties. When choosing tenants ensure you adhere to the best practices explained below.

1. Always, check income, credit history, including work, landlord, and personal references. These days running a credit check requires only a minimal fee. As well, it is important to check on tenant references by phoning them, especially, previous and present landlords. And, it is always a good idea to verify an applicant’s employment, income, including bank account information. You should always be consistent in your screening process, including making it a policy, to always ask every applicant for his / her credit report, and not just singling out single parents or people belonging to a specific nationality or ethnic group.
2. All decisions should be made, based on business reasons. Every landlord is legally free to choose from among prospective tenants, so long as their decisions are based on legitimate business criteria, and not personal reasons. Applicants with bad credit histories, insufficient income to pay the rent, or unruly past behaviour, such as, being consistently late in paying their rent, or holding loud and noisy parties, or causing costly property damage, can be safely rejected since all things combined make them a bad risk. And, it goes without saying that a landlord can legally refuse to rent to an applicant, who is unable to come up with the security deposit, or meet any other condition of the tenancy.
3. Acquire a through understanding of fair housing rules. Fair housing laws clearly specify the reasons that can be considered illegal, when refusing to rent to a tenant. Forty-two US Code 3601, 3619, 3631 of the Federal Fair Housing Acts, make it clear that it is prohibited to discriminate on grounds of race, religion, national origin, gender, age, family status, physical or mental disability (including recovering alcoholics and people with past drug addiction histories). There are certain states and cities that also make it illegal to discriminate on the basis of marital status or sexual orientation.
4. If, you are the owner of large rental properties like apartment complexes, then you must make it a point to train your staff to understand the Fair Housing rules, as well. All property owners, landlords, managers and real estate agents, including their employees, while dealing with prospective tenants must adhere to fair housing laws during the selection process. Property owners are and should be held legally responsible for their employees’ discriminatory statements or conduct, including sexual harassment.
5. Consistency is the key. Being consistent is of paramount importance and absolutely crucial when dealing with prospective tenants. If all tenants are not treated more or less equally i.e. tougher standards are set and used randomly, while renting to members of a racial minority. This way, you are not only violating federal laws, but opening yourself up to lawsuits. Lowering the security deposit amount for some people, but not for others, opens you to the risk of being slapped with charges of discrimination from other tenants.

The Fair Housing Acts legislated by the government and valid in all states across the country prohibits landlords from engaging in discriminatory behaviour on the basis of race, religion, or any other protected group:

• To falsely deny a rental unit is unavailable to some applicants
• To advertise in a manner that indicates clear preference based on group characteristics i.e. skin colour, or
• To set a more restrictive standard, such as higher income for certain tenants
• Refusing to make reasonable accommodation for disabled tenant needs, such as, permission for permitting guide or hearing dogs, including any other service animal.
• To set different terms for certain tenants, such as, adoption of an inconsistent policy of responding to late rent payments, or
• Of terminating a tenancy for a discriminatory reason.

On that cautionary note, another fair bit of advice, avoid expensive landlord / tenant litigation, by taking necessary precautions, such as, screening tenants and conducting background checks on prospective tenants. A simple click of the mouse and any landlord or property manager can visit www.e-renter.com for tenant screening and background check services. www.e-renter.com, the best tenant screening agency in America!