Monday, July 7, 2014

5 Things To Know Before Renting A Home

Tori rented a home in a suburb of a metropolitan city.  Tori did not sign a lease and the home was rented under a verbal agreement of what she would do as a tenant including making various repairs in the home and what the landlord would do and provide as the property owner.*

Tori needed to register her children for the new school district and the district requires a lease or purchase documents to show occupancy in that city.  Tori did not have a lease.  The district told her she could get an occupancy permit from the city hall housing department.  Tori went to city hall to obtain the occupancy permit and the city told her that she had rented the home illegally because an inspection was not done on the home as required for an occupancy permit to be issued. Tori told the landlord about the situation and ceased paying rent.  The landlord files suit to evict for non-payment of rent and Tori files suit for all rent paid to live in a home that should not have been rented.*


1. Know the Occupancy Ordinances in That Particular Community

Most cities have ordinances or laws regarding occupancy including how many people can live in a certain home depending on the size and number of rooms - related or unrelated as well as inspections that need to be conducted before issuing an occupancy permit.

Call that city's building housing department first to determine if there are any occupancy regulations that need to be followed before renting.  Also, determine that the home desired is free and clear to be rented and occupied according to the city's ordinances.

2.  Know Exactly Who Owns The Home

There have been scams where someone has placed an ad to rent or sell a home that they do not own, then "rented" the home to "everyone" who came with a security deposit and first month's rent OR had people send money to finalize the rental.  Then all the families who thought they have a new home to move into - showed up on the same move-in day.

Look up public records to know who for sure owns the property in which you are interested.

3.  Confirm That You Are Speaking With the Owner or the Owner's Authrorized Agent/Representative

If need be, ask for identification or documentation. 

4.  Rent in Writing

Renting without a lease leaves a tenant, as well as the landlord, vulnerable. 

A lease is best prepared by an attorney and then reviewed by the other party's attorney before the other party signs the document.

At the minimum, leases typically indicate:

  • Move-in Date
  • Duration of Rental Term
  • Security Deposit Dollar Amount Given and When/How It Will Be Used and Returned
  • Monthly Rental Amount and Total Amount for the Entire Rental Term
  • Who Pays What Utilities
  • Who is Responsible for Repairs and Lawn Care
  • Appliances Provided
  • Method to Paying Rent


5. Review and Consult Before Signing

Review the lease carefully - reading every word in every line in every paragraph on every page.  Signing a document indicates that there is full 100% agreement to the document.  If there is any issue, concern, or disagreement in any part of the document, DO NOT sign the document. Address those issues, make modifications in the document to become 100% satisfactory, then initial and date those changes and then sign.  Be sure that the other parties initial and date those changes as well. 

Be prepared to walk away if terms are unreasonable, uncomfortable, or not agreeable.

It is a good practice to have any document requiring signature for any reason to be reviewed by an attorney.


Renting a home is a two-way street.

TND

*Fictitious name(s) for a realistic situation.



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