Average rent price in Los Angeles has gone up 5.2% during 2016
The cities with the biggest increase are: West Hollywood Hills 13%, Beverly Hills 12%, Mid City 12%, Olympic Park 10%.
The biggest decline in rent was Down Town Los Angeles -8% during 2016
Some landlords manage properties on their own or with the help of an employee, such as a resident manager. But sometimes landlords need more help or are not interested in nor have the time to deal with the day-to-day issues that arise when leasing real property. That is when a property management company is needed and can be of service.
Property management companies can be a huge asset to your business and even save you money in the long run.
At the Ziegel Group our property management company deals directly with prospects and tenants, saving you time and worry over locating, screening, and interviewing prospective tenants, marketing and leasing your rentals, collecting rent, handling maintenance and repair issues at our discounted rates, responding to tenant complaints, and when necessary, even pursuing evictions. Plus, a good management company brings its know-how and experience to your property, giving you the peace of mind that comes with knowing your investment is in good hands. Finally, the Ziegel Group is an independent contractor, so you avoid the hassles of being an employer.
Hiring a property management company has its disadvantages and advantages.
Consider the following factors to determine if hiring the Ziegel Group as your property management company would be a good decision for your investment or business.
You should consider hiring a property management company if:
You have little experience in maintaining a house for others. We know to cost of repair and maintenance and use our own in-house staff or contractors at a discounted rate.
You have lots of properties or rental units. The more rental properties you own and the more units they contain, the more you’re likely not to have the time to deal with the day-to-day management of dealing with tenants and thus the more likely you are to benefit from a management company.
You don’t live near your rental property. If your rental property is located far from where you live, hiring a property management company can be invaluable in dealing with the many issues that you will not be able to handle from afar.
You’re not interested in hands-on management. Many landlords look forward to the challenge of finding good tenants and the rewards of maintaining a safe and attractive property on their own. But if you view rental property ownership strictly as an investment and want little or nothing to do with the day-to-day management of your properties, consider hiring the Ziegel Group to manage your property.
Your time is limited. Even if you enjoy hands-on management, you may not have much time to devote to your business, especially if isn’t not your day job. And if you prefer to spend your time growing your business, including searching for new properties, arranging financing for renovations, or changing your business structure, then a management company may be a good way to spend your money.
You don’t want to be an employer. If you hire a resident manager or other employees to help with your property, you become an employer. You’ll have to handle payroll and deal with a host of other legal requirements and considerations. But, because a property management company isn’t your employee (it’s an independent contractor), and neither are the people who work for the company, by using one you avoid the hassles of being an employer.
Your property is part of an affordable housing program. If you participate in an affordable housing program, things can get complicated. Usually, in these programs the landlord receives financial assistance, which may be in the form of a grant, low-interest loan, or tax credits, in return for agreeing to rent at least part of the property to tenants earning below a certain income level. In order to continue receiving the assistance, the landlord must comply with a complicated set of rules. With so much at stake, it’s often worth hiring a property management company that has expertise and experience with the particular housing program in question.
Are you thinking about making some home improvements, but want to make sure they’re renovations that will actually pay you back in the long run?
Good news: From a complete kitchen renovation to small do-it-yourself projects like repainting light fixtures, there are a variety of cost-effective projects that could help your home have more curb appeal.
If you’re considering making some home improvements, check our list of smart and worthwhile projects.
Do you want to upgrade or remodel your bathroom, but concerned about spending too much money? Fret not. Remodeling your bathroom is one of the most profitable home improvement projects, says Marie Leonard, home improvement expert and author of Marie’s Home Improvement Guide.
“As far as getting a return on your investment, the best money is in upgrading or remodeling your bathroom or kitchen,” says Leonard. “All the realtors will tell people that you have the greatest chance of getting your money back on those two.”
And as far as bathroom improvement projects go, Leonard says you have the option of going big and doing a total renovation (replacing toilet, tub, vanity, floor, etc.), or you could do a simple upgrade, which is much less expensive.
For example, “some people will just replace the toilet and vanity, because tubs are so expensive,” says Leonard. In other cases, “they might put down a vinyl floor or new tile floor and then replace the fixtures, like the faucet and the towel bars. It’s much less expensive [than a total bathroom renovation], but still adds value to your home.”
As Leonard mentioned earlier, upgrading your kitchen is another smart renovation worth investing in.
And Lipford offers a similar view, noting that a kitchen remodel is a smart, worthwhile project that could help increase the value of your home.
“The value of a home is driven by the ‘salability’ of said home,” says Lipford. “A house with an out-of-date or obsolete kitchen is very hard to sell, so a price compromise usually takes place.”
But what if a complete kitchen remodel is not in your budget? Not to worry. Leonard explains how you can make small, yet smart, upgrades:
“You can get new countertops; you can repaint your cupboard doors; you can get new handles; you can update your appliances,” she says. “There are different levels of things people can do, depending on their budget.”
On first thought, the condition of your front door may not seem like a significant factor in the overall value of your home. But according to experts, you may want to reconsider that thought.
Here’s why: The front door is a very important part of a home’s curb appeal and contributes greatly to the home’s overall value, says Lipford.
“It’s usually the first opportunity to influence a guest to your home, or a potential buyer of your home, because they’re going to see that from the road,” explains Lipford. “It’s the nose on the face of the house, and it’s important to showcase it in the best light that you possibly can.”
Luckily, Lipford says that refinishing or repainting your front door is one of the least expensive home improvement projects, and it’s one you can do yourself – if you’re up for the challenge.
“This is a very do-it-yourself friendly project,” says Lipford. “But if the homeowner is not comfortable tackling this, it is still a very good return on investment, even if you choose to hire a contractor to do the work.”
Everyone wants more for less. This is especially true with apartment renters. They want their apartments to be modern, spacious, and to include amenities for their rent, but don’t want to pay top dollar. To appease and appeal to potential renters, apartment managers need to upgrade their stale apartments, but at the least possible cost.
When it comes to breathing new life into your stock, focus on four categories that will improve your apartment’s appeal to potential tenants: the inside of the unit, the building’s appearance, energy efficiency, and the “extras” that go along with renting one of your units. Find out from the experts what changes they are making to their stock in order to increase appeal.
What’s on the Inside Counts
A floor-to-ceiling remodel is probably not the fix you’re looking for. And luckily, most apartment stock can be revived without turning to that solution. “In today’s economy, you really can’t build your way to higher rents,” says Armand Brachman, principal at Dominium. “What I mean by that is, you can’t go out and spend a lot of money and expect to get more rent, because right now we don’t have the renters in the marketplace that can afford to pay those rents. Start looking at things that you can do to make a difference and at how you can set yourself apart from your competition. Some of the most common low-cost ways to make a difference are applying new paint, carpeting, and doing a really thorough cleaning.”
The inside of the apartment unit may be clean and freshly painted, but still may not attract renters because there’s nothing special about the unit itself. In that case, try adding an accent. “Offer an accent wall in the living room,” says Christopher Canale, vice president of operations at GPX Realty Partners. “This will cost $50 and sets you apart from the typical white box that they have been walking into.”
After applying that fresh coat of paint, look at the kitchens and bathrooms of the apartment units. “We found that what renters really focus on and that makes a big difference are your kitchens and bathrooms,” Brachman says. Bring tired, outdated units up to today’s standards with simple fixes in the kitchens and bathrooms.
Replacing old cabinet doors and hardware, as well as old countertops, can make a tremendous impact on the unit’s appearance, thereby making it more appealing. “Ideally, if the cabinets need to be replaced, put in new countertops, and that really makes a difference,” Brachman explains. Even if the current cabinets are in good condition, at least update the hardware.
“Upgraded kitchens and baths give a new resident the feel of a home instead of the feel of just renting someone else’s old apartment,” explains Canale. Not only is this good for your tenants, it’s also good for you. “It instills a sense of pride in your resident, who hopefully will take better care of the property.”
In addition, take the time to replace appliances and either replace or thoroughly clean the flooring.
“Change outdated lighting fixtures,” elaborates Canale. “No one wants to live in an apartment that feels old. Updating also sends an unspoken message that you do invest in your property, no matter how small. Outdated apartments do not move easily.”
Outward Appearances Matter
Even though people are taught not to “judge a book by its cover,” they do. The outside appearance of a building can speak volumes about a property’s maintenance standards and upkeep – inside and out. Give your potential tenants the best possible image of your property from the second they pull up to the building – balance your exterior upgrades with the upgrades you make on the interiors.
“Limited amounts of new landscaping and new signage could enhance the appearance of your project,” says Stan Braden, chairman and principal at KTGY. If your complex has carports or uncovered parking spaces instead of individual garages (which can be negative to some tenants), point out the positive aspects – including privacy, open space, and mature landscaping.
Landscaping may work wonders for a unit that is already in good shape, but not if the unit is already worn out due to deferred maintenance or in need of significant repairs. “Consider new roofing, new siding (if applicable), or new balcony railings,” explains Braden. These fixes may be justified to make the project look refreshed. “If you need to replace any exterior material due to termites, dry rot, or other issues, why not select a new replacement material and give your project a new look?” he says.
Brachman agrees with the premise of giving your building a new look by changing the siding. “If you have a little more money available, putting new siding on a building definitely improves the curb appeal and the appearance of your property,” he says.
Energy Efficiency Makes Units Shining Stars
Energy efficiency is on everyone’s mind. Especially if potential tenants are paying their own energy bills, they are interested in units with energy-efficient appliances.
“Take a look at what kinds of things you can do to the property to improve and reduce operating expenses,” recommends Brachman. “That might be things like putting in energy-efficient light fixtures and replacing furnaces (and HVAC systems) with more energy-efficient ones, both of which cut down the operating costs. Start looking at how you can save on energy costs, and ultimately, that helps the bottom line for the owner. Start focusing more and more on those mechanical items.”
These energy-efficient improvements can serve as a marketing tool for your units. “Let’s say that the tenants pay their own utilities,” says Brachman. “We will show them what their utility costs are, and typically, we’ll show them that the new air-conditioning or heating unit will cost them less than the earlier one. Newer equipment works better and is more efficient, and I think tenants appreciate it.”
Replacing older appliances with energy-efficient ones may cost more initially, but you’ll make more money than you would with an empty unit.
Perks Are a Plus
Amenities make your units stand out. “Upgrade the club room, fitness center, and pool/spa area,” says Braden. “Older apartments may have laundry rooms throughout the property with coin-operated washers and dryers. Is there space and proximity to utilities and plumbing to add a stacked washer/dryer to each unit? This is not always practical, but if justified, the existing laundry facilities can be converted to other uses, including tenant storage, an activity area, open space, etc.”
“Ask your tenants and prospective tenants what is most important to them,” says Braden. “Depending on the quality of your on-site management, you may want it involved in the process, or consider a survey of your tenants and potential future residents.” If you can find out what is important to your future and current tenants, you can concentrate your budget on the areas that will attract tenants, and therefore generate income.
Desired perks can be as low-cost as offering “pet friendly” units (no special remodeling or renovations needed to allow pets in certain units) and adding Wi-Fi to the property.
Shop Around
If you don’t know what your competing properties are offering, then you don’t know what you’re not offering and why your units may not be appealing. “Shop your competition,” says Canale. “Where would you prefer to live?”
“If your competition in a marketplace looks better, has had a face-lift, has been remodeled – to stay competitive, you’re going to have to remodel also,” Brachman says. “In today’s environment, there’s more supply than demand. You can’t fall behind your competition, so you always need to be aware of who your competitors are, what they are doing, what their product looks like, their pricing structure, and their rent levels.”
Back to Basics
Brachman gives an example of a unit in Cleveland, to illustrate how the basics of good property management – not a lot of money – can turn around apartment occupancy. “We did some basic painting where it was needed, we added some blinds to the units, and we put new door latches and pulls on the cabinets,” he says. “Just by doing that simple stuff we were able to significantly improve the occupancy of a property that a lot of people didn’t think was leasable.” Picking up trash, cutting grass, and planting flowers are low-cost ways to make your property more appealing and more renter-friendly.
“Just get back to the basics of good property management,” Brachman says. “You don’t have to spend a lot of money; you need to have the people in place to make it look good.”
Source: Buildings.com
If a tenant believes that his or her rental unit needs repairs, and that the landlord is responsible for the repairs under the implied warranty of habitability, the tenant should notify the landlord. Since rental units typically are business investments for landlords, most landlords want to keep them safe, clean, attractive, and in good repair.
It’s best for the tenant to notify the landlord of damage or defects by both a telephone call and a letter. The tenant should specifically describe the damage or defects and the required repairs in both the phone call and the letter. The tenant should date the letter and keep a copy to show that notice was given and what it said. If the tenant gives notice to the landlord by e-mail or fax, the tenant should follow up with a letter. (See “Giving the landlord notice“.)
The tenant should send the letter to the landlord, manager, or agent by certified mail with return receipt requested. Sending the notice by certified mail is not required by law, but is a very good idea. Or, the tenant (or a friend) may personally deliver the notice to the landlord, manager, or agent and ask for a receipt to show that the notice was received. The tenant should keep a copy of the notice and the receipt, or some other evidence that the notice was delivered. (See “Giving the landlord notice“.)
If the landlord doesn’t make the requested repairs, and doesn’t have a good reason for not doing so, the tenant may have one of several remedies, depending on the seriousness of the repairs. These remedies are discussed in the rest of this section. Each of these remedies has its own risks and requirements, so the tenant should use them carefully.
The “repair and deduct” remedy
The “repair and deduct” remedy allows a tenant to deduct money from the rent, up to the amount of one month’s rent, to pay for repair of defects in the rental unit.156 This remedy covers substandard conditions that affect the tenant’s health and safety, and that substantially breach the implied warranty of habitability.157 (See discussion of the implied warranty of habitability.) Examples might include a leak in the roof during the rainy season, no hot running water, or a gas leak.
As a practical matter, the repair and deduct remedy allows a tenant to make needed repairs of serious conditions without filing a lawsuit against the landlord. Because this remedy involves legal technicalities, it’s a good idea for the tenant to talk to a lawyer, legal aid organization, or tenants’ association before proceeding.
The basic requirements and steps for using the repair and deduct remedy are as follows:
Risks: The defects may not be serious enough to justify using the repair and deduct remedy. In that event, the landlord can sue the tenant to recover the money deducted from the rent, or can file an eviction action based on the nonpayment of rent. If the tenant deducted money for repairs not covered by the remedy, or didn’t give the landlord proper advance notice or a reasonable time to make repairs, the court can order the tenant to pay the full rent even though the tenant paid for the repairs, or can order that the eviction proceed.
The landlord may try to evict the tenant or raise the rent because the tenant used the repair and deduct remedy. This kind of action is known as a “retaliatory eviction” (see section on Retaliatory Eviction). The law prohibits this type of eviction, with some limitations.159
Instead of using the repair and deduct remedy, a tenant can abandon (move out of) a defective rental unit. This remedy is called the” abandonment” remedy. A tenant might use the abandonment remedy where the defects would cost more than one month’s rent to repair,160 but this is not a requirement of the remedy. The abandonment remedy has most of the same requirements and basic steps as the repair and deduct remedy.161
In order to use the abandonment remedy, the rental unit must have substandard conditions that affect the tenant’s health and safety, and that substantially breach the implied warranty of habitability.162 (See discussion of the implied warranty of habitability.) If the tenant uses this remedy properly, the tenant is not responsible for paying further rent once he or she has abandoned the rental unit.163
The basic requirements and steps for lawfully abandoning a rental unit are:
Risks: The defects may not affect the tenant’s health and safety seriously enough to justify using the remedy. The landlord may sue the tenant to collect additional rent or damages.
A tenant may have another option for getting repairs made – the “rent withholding” remedy.
By law, a tenant is allowed to withhold (stop paying) some or all of the rent if the landlord does not fix serious defects that violate the implied warranty of habitability.165 (See discussion of the implied warranty of habitability.) In order for the tenant to withhold rent, the defects or repairs that are needed must be more serious than would justify use of the repair and deduct and abandonment remedies. The defects must be substantial – they must be serious ones that threaten the tenant’s health or safety.166
The defects that were serious enough to justify withholding rent in Green v. Superior Court167 are listed below as examples:
In the Green case, all of these defects were present, and there also were many violations of the local housing and building codes. In other situations, the defects that would justify rent withholding may be different, but the defects would still have to be serious ones that threaten the tenant’s health or safety.
In order to prove a violation of the implied warranty of habitability, the tenant will need evidence of the defects that require repair. In the event of a court action, it is helpful to have photographs or videos, witnesses, and copies of letters informing the landlord of the problem.
Before the tenant withholds rent, it is a good idea to check with a legal aid organization, lawyer, housing clinic, or tenant program to help determine if rent withholding is the appropriate remedy.
The basic requirements and steps for using the rent withholding remedy are:
Percentage reduction in rent: The percentage of the rental unit that is uninhabitable is determined, and the rent is reduced by that amount. For example, if one of a rental unit’s four rooms is uninhabitable, the tenant could withhold 25 percent of the rent. The tenant would have to pay the remaining 75 percent of the rent. Most courts use this method.
Reasonable value of rental unit: The value of the rental unit in its defective state is determined, and the tenant withholds that amount. The tenant would have to pay the difference between the rental unit’s fair market value (usually the rent stated in the rental agreement or lease) and the rental unit’s value in its defective state.169
Depositing the withheld rent money in an escrow account is not required by law, but is a very good thing to do for three reasons.
First, as explained under “Risks” below, rent withholding cases often wind up in court. The judge usually will require the tenant to pay the landlord some reduced rent based on the value of the rental unit with all of its defects. Judges rarely excuse payment of all rent. Depositing the withheld rent money in an escrow account assures that the tenant will have the money to pay any “reasonable rent” that the court orders. The tenant will have to pay the rent ordered by the court five days (or less) from the date of the court’s judgment.
Second, putting the withheld rent money in an escrow account proves to the court that the tenant didn’t withhold rent just to avoid paying rent. If there is a court hearing, the tenant should bring rental receipts or other evidence to show that he or she has been reliable in paying rent in the past.
Third, most legal aid organizations and lawyers will not represent a tenant who has not deposited the withheld rent money in an escrow account.
Sometimes, the tenant and the landlord will be able to agree on the amount of rent that is reasonable for the time when the rental unit needed repairs. If the tenant and the landlord can’t agree on a reasonable amount, the dispute will have to be decided in court, or resolved in an arbitration or mediation proceeding (see section on Arbitration and Mediation).
Risks: The defects may not be serious enough to threaten the tenant’s health or safety. If the tenant withholds rent, the landlord may give the tenant an eviction notice (a three-day notice to pay the rent or leave). If the tenant refuses to pay, the landlord will probably go to court to evict the tenant. In the court action, the tenant will have to prove that the landlord violated the implied warranty of habitability.170
If the tenant wins the case, the landlord will be ordered to make the repairs, and the tenant will be ordered to pay a reasonable rent. The rent ordinarily must be paid five days or less from the date of the court’s judgment. If the tenant wins, but doesn’t pay the amount of rent ordered when it is due, the judge will enter a judgment for the landlord, and the tenant probably will be evicted. If the tenant loses, he or she will have to pay the rent, probably will be evicted, and may be ordered to pay the landlord’s attorney’s fees.
There is another risk of using rent withholding: if the tenant doesn’t have a lease, the landlord may ignore the tenant’s notice of defective conditions and seek to remove the tenant by giving him or her a 30-day or 60-day notice to move. This may amount to a “retaliatory eviction” (see section on Retaliatory Actions, Evictions and Discrimination).171 The law prohibits retaliatory evictions, with some limitations.172
Whenever a tenant gives the landlord notice of the tenant’s intention to repair and deduct, withhold rent, or abandon the rental unit, it’s best to put the notice in writing. The notice should be in the form of a letter, and can be typed or handwritten. The letter should describe in detail the problem and the repairs that are required. The tenant should sign and date the letter and keep a copy.173
The tenant might be tempted to send the notice to the landlord by e-mail or fax. The laws on repairs specify that the tenant may give the landlord notice orally or in writing, but do not mention e-mail or fax. To be certain that the notice complies with the law, the tenant should follow up any e-mailed or faxed notice with a letter describing the damage or defects and the required repairs.
The letter should be sent to the landlord, manager, or agent by certified mail (return receipt requested). Sending the letter by certified mail is not required by law, but is a very good idea. Or, the tenant (or a friend) may personally deliver the notice to the landlord, manager, or agent. The tenant should ask for a signed and dated receipt showing that the notice was received, or ask the landlord to date and sign (or initial) the tenant’s copy of the letter to show that the landlord received the notice. Whatever the method of delivery, it’s important that the tenant have proof that the landlord, or the landlord’s manager or agent, received the notice.
The copy of the letter and the receipt will be proof that the tenant notified the landlord, and also proof of what the notice said. Keep the copy of the letter and the receipt in case of a dispute with the landlord.
The landlord or agent may call the tenant to discuss the request for repairs or to schedule a time to make them. It’s a good idea for the tenant to keep notes of any conversations and phone calls about the request for repairs. During each conversation or immediately after it, the tenant should write down the date and time of the conversation, what both parties said, and the date and time that the tenant made the notes. Important: Neither the tenant nor the landlord can tape record a telephone conversation without the other party’s permission174
An occupant of residential property can invite another person onto the property during reasonable hours, or because of emergency circumstances, to provide information about tenants’ rights or to participate in a tenants’ association or an association that advocates tenants’ rights. The invited person cannot be held liable for trespass.175
Lawsuit for damages as a remedy
The remedies of repair and deduct, abandonment, and rent withholding allow a tenant in a rental unit with serious habitability defects to take action against the landlord without filing a lawsuit. Arbitration and mediation are other methods of resolving disputes about the condition of a rental unit (see section on Arbitration and Mediation).
A tenant has another option: filing a lawsuit against the landlord to recover money damages if the landlord does not repair serious defects in the rental unit in a timely manner.176 This kind of lawsuit can be filed in small claims court or Superior Court, depending on the amount demanded in the suit.177 The tenant can file this kind of lawsuit without first trying another remedy, such as the repair and deduct remedy.
If the tenant wins the lawsuit, the court may award the tenant his or her actual damages, plus “special damages” in an amount ranging from $100 to $5,000.178 “Special damages” are costs that the tenant incurs, such as the cost of a motel room, because the landlord did not repair defects in the rental unit. The party who wins the lawsuit is entitled to recover his or her costs of bringing the suit (for example, court costs), plus reasonable attorney’s fees as awarded by the court.179
The court also may order the landlord to abate (stop or eliminate) a nuisance and to repair any substandard condition that significantly affects the health and safety of the tenant.180 For example, a court could order the landlord to repair a leaky roof, and could retain jurisdiction over the case until the roof is fixed.
In order for a tenant to win such a lawsuit against the landlord, all of the following conditions must be met.181
To prepare for filing this kind of lawsuit, the tenant should take all of these basic steps:
Resolving complaints out of court
Before filing suit, the tenant should try to resolve the dispute out of court, either through personal negotiation or a dispute resolution program that offers mediation or arbitration of landlord-tenant disputes. If the tenant and the landlord agree, a neutral person can work with both of them to reach a solution. Informal dispute resolution can be inexpensive and fast. (See “Arbitration and Mediation“.) See “Giving the landlord notice” regarding legal requirements for notices.
If your landlord voluntarily sells the rental unit that you live in, your legal rights as a tenant are not changed. Tenants who have a lease have the right to remain through the end of the lease under the same terms and conditions. The new landlord can end a periodic tenancy (for example, a month-to-month tenancy), but only after giving the tenant the required advance notice. (See “Landlord’s notice to end a periodic tenancy“.)
The sale of the building doesn’t change the rights of the tenants to have their security deposits refunded when they move. The section on Refund of Security Deposits discuss the landlord’s responsibility for the tenants’ security deposits after the rental unit has been sold.
State law provides that a tenant in possession of a rental housing unit at the time a property is sold in foreclosure shall be given 60 days’ written notice to quit before the tenant may be removed from the property.183 However, if your lease was signed before the deed of trust or mortgage was recorded, your lease will not be set aside by the foreclosure.184
Federal law now requires that you be given 90 days’ written notice to quit (leave the property). under the 2009 “protecting tenants at Foreclosure Act,” a buyer of foreclosed property must honor your lease until the end of the lease term, unless the buyer will be moving in and using the property as the buyer’s home.184.1 In that case, you are entitled to 90 days’ notice to quit.184.2 This is also true if you are a month-to-month tenant. the Act creates similar protections for tenants with section 8 vouchers. this rule does not apply to rental agreements that were not the result of arm’s length transactions or where the rent is much less than fair market rent for that property.184.3
California recognizes that tenants of units sold in foreclosure now have a right to this 90-day notice under federal law. specifically, any notice to quit served within one year after a foreclosure sale must also inform renters that they may stay in the unit for at least 90-days.184.4
A landlord who wishes to convert rental property into condominiums must obtain approval from the local city or county planning agency. The landlord also must receive final approval in the form of a public report issued by the State Department of Real Estate. Affected tenants must receive notices at various stages of the application and approval process.185 These notices are designed to allow affected tenants and the public to have a voice in the approval process.186 Tenants can check with local elected officials or housing agencies about the approval process and opportunities for public input.
Perhaps most important, affected tenants must be given written notice of the conversion to condominiums at least 180 days before their tenancies end due to the conversion.187 Affected tenants also must be given a first option to buy the rental unit on the same terms that are being offered to the general public (or better terms). The tenants must be able to exercise this right for at least 90 days following issuance of the Department of Real Estate’s public report.188
The owner of a dwelling must give written notice to current tenants before applying for a permit to demolish the dwelling. The owner also must give this notice to tenants who have signed rental agreements but who have not yet moved in. (See “When You Have Decided to Rent, Condominium Conversion Project” section.) The notice must include the earliest approximate dates that the owner expects the demolition to occur and the tenancy to end.189
California law protects a tenant from retaliation by the landlord because the tenant has lawfully exercised a tenant right (see Retaliatory Actions). California law also makes it unlawful for a landlord to attempt to influence a tenant to move by doing any of the following:
A landlord does not violate the law by giving a tenant a warning notice, in good faith, that the tenant’s or a guest’s conduct may violate the lease, rental agreement, rules or laws. The notice may be oral or in writing. The law also allows a landlord to give a tenant an oral or written explanation of the lease, rental agreement, rules or laws in the normal course of business.191
If a landlord engages in unlawful behavior as described above, the tenant may sue the landlord in small claims court or Superior Court. If the tenant prevails, the court may award him or her a civil penalty of up to $2,000 for each violation.192 Keep in mind, however, that a lawsuit is not always a good solution. If you are faced with actions such as described above, try to assess the situation realistically. You may want to discuss the situation with a trusted friend, a tenant advisor, or a lawyer who represents tenants. If you are convinced that you cannot work things out with the landlord, then consider your legal remedies.
Most landlord-tenant relationships go smoothly. However, problems sometimes do arise. For example, what if the rental unit’s furnace goes out in the middle of the winter? What happens if the landlord sells the building or decides to convert it into condominiums? This section discusses these and other possible issues and problems in the landlord-tenant relationship.
A rental unit must be fit to live in; that is, it must be habitable. In legal terms, “habitable” means that the rental unit is fit for occupation by human beings and that it substantially complies with state and local building and health codes that materially affect tenants’ health and safety.129
California law makes landlords and tenants each responsible for certain kinds of repairs, although landlords ultimately are legally responsible for assuring that their rental units are habitable.
Landlord’s responsibility for repairs
Before renting a rental unit to a tenant, a landlord must make the unit fit to live in, or habitable. Additionally, while the unit is being rented, the landlord must repair problems that make the rental unit unfit to live in, or uninhabitable.
The landlord has this duty to repair because of a California Supreme Court case, called Green v. Superior Court,130 which held that all residential leases and rental agreements contain an implied warranty of habitability. Under the “implied warranty of habitability,” the landlord is legally responsible for repairing conditions that seriously affect the rental unit’s habitability.131 That is, the landlord must repair substantial defects in the rental unit and substantial failures to comply with state and local building and health codes.132 However, the landlord is not responsible under the implied warranty of habitability for repairing damages that were caused by the tenant or the tenant’s family, guests, or pets.133
Generally, the landlord also must do maintenance work which is necessary to keep the rental unit liveable.134 Whether the landlord or the tenant is responsible for making less serious repairs is usually determined by the rental agreement.
The law is very specific as to what kinds of conditions make a rental uninhabitable. These are discussed below.
Tenant’s responsibility for repairs
Tenants are required by law to take reasonable care of their rental units, as well as common areas such as hallways and outside areas. Tenants must act to keep those areas clean and undamaged. Tenants also are responsible for repair of all damage that results from their neglect or abuse, and for repair of damage caused by anyone for whom they are responsible, such as family, guests, or pets.135 Tenants’ responsibilities for care and repair of the rental unit are discussed in detail below.
Conditions that make a rental unit legally uninhabitable
There are many kinds of defects that could make a rental unit unlivable. The implied warranty of habitability requires landlords to maintain their rental units in a condition fit for the “occupation of human beings. “136 In addition, the rental unit must “substantially comply” with building and housing code standards that materially affect tenants’ health and safety.137
A rental unit may be considered uninhabitable (unlivable) if it contains a lead hazard that endangers the occupants or the public, or is a substandard building because, for example, a structural hazard, inadequate sanitation, or a nuisance endangers the health, life, safety, property, or welfare of the occupants or the public.138
A dwelling also may be considered uninhabitable (unlivable) if it substantially lacks any of the following:139
In addition to these requirements, each rental unit must have all of the following:
The implied warranty of habitability is not violated merely because the rental unit is not in perfect, aesthetically pleasing condition. Nor is the implied warranty of habitability violated if there are minor housing code violations, which, standing alone, do not affect habitability.145
While it is the landlord’s responsibility to install and maintain the inside wiring for one telephone jack, it is unclear whether the landlord’s failure to do so is a breach of the implied warranty of habitability.146
An authoritative reference book suggests two additional ways in which the implied warranty of habitability may be violated. The first is the presence of mold conditions in the rental unit that affect the livability of the unit or the health and safety of tenants. The second follows from a new law that imposes obligations on a property owner who is notified by a local health officer that the property is contaminated by methamphetamine. (See When You Have Decided to Rent, Methamphetamine Contamination.) This reference book suggests that a tenant who is damaged by this kind of documented contamination may be able to claim a breach of the implied warranty of habitability.147
Limitations on landlord’s duty to keep the rental unit habitable
Even if a rental unit is unlivable because of one of the conditions listed above, a landlord may not be legally required to repair the condition if the tenant has not fulfilled the tenant’s own responsibilities.
In addition to generally requiring a tenant to take reasonable care of the rental unit and common areas (see above), the law lists specific things that a tenant must do to keep the rental unit liveable.
Tenants must do all of the following
However, a landlord may agree in writing to clean the rental unit and dispose of the trash.150
If a tenant violates these requirements in some minor way, the landlord is still responsible for providing a habitable dwelling, and may be prosecuted for violating housing code standards. If the tenant fails to do one of these required things, and the tenant’s failure has either substantially caused an unlivable condition to occur or has substantially interfered with the landlord’s ability to repair the condition, the landlord does not have to repair the condition.151 However, a tenant cannot withhold rent or has no action against the landlord for violating the implied warranty of habitability if the tenant has failed to meet these requirements.152
Responsibility for other kinds of repairs
As for less serious repairs, the rental agreement or lease may require either the tenant or the landlord to fix a particular item. Items covered by such an agreement might include refrigerators, washing machines, parking places, or swimming pools. These items are usually considered “amenities,” and their absence does not make a dwelling unit unfit for living.
These agreements to repair are usually enforceable in accordance with the intent of the parties to the rental agreement or lease.153
Tenant’s agreement to make repairs
The landlord and the tenant may agree in the rental agreement or lease that the tenant will perform all repairs and maintenance in exchange for lower rent.154 Such an agreement must be made in good faith: there must be a real reduction in the rent, and the tenant must intend and be able to make all the necessary repairs. When negotiating the agreement, the tenant should consider whether he or she wants to try to negotiate a cap on the amount that he or she can be required to spend making repairs. Regardless of any such agreement, the landlord is responsible for maintaining the property as required by state and local housing codes.155
Before you sign a rental agreement or a lease, read it carefully so that you understand all of its terms. What kind of terms should be in the rental agreement or lease? Can the rental agreement or lease limit the basic rights that the law gives to all tenants? How much can the landlord require you to pay as a security deposit? This section answers these and other questions.
Most landlords use printed forms for their leases and rental agreements. However, printed forms may differ from each other. There is no standard rental agreement or standard lease! Therefore, carefully read and understand the entire document before you sign it.
The written rental agreement or lease should contain all of the promises that the landlord or the landlord’s agent has made to you, and should not contain anything that contradicts what the landlord or the agent told you. If the lease or rental agreement refers to another document, such as “tenant rules and regulations,” get a copy and read it before you sign the written agreement.
Don’t feel rushed into signing. Make sure that you understand everything that you’re agreeing to by signing the rental agreement or lease. If you don’t understand something, ask the landlord to explain it to you. If you still don’t understand, discuss the agreement with a friend, or with an attorney, legal aid organization, tenant-landlord program, or housing clinic.
The written rental agreement or lease should contain key terms, such as the following:
In addition, the rental agreement or lease must disclose:
If the rental agreement is oral, the landlord or the landlord’s agent must give the tenant, within 15 days, a written statement containing the information in the foregoing three bullet points. The tenant may request a copy of this written statement each year thereafter.68
Every rental agreement or lease also must contain a written notice that the California Department of Justice maintains a Web site at www.meganslaw.ca.gov that provides information about specified registered sex offenders. This notice must be in legally-required language.69
A rental agreement or lease may contain other terms. Examples include whether you must park your car in a certain place, and whether you must obtain permission from the landlord before having a party. A landlord may lawfully prohibit smoking anywhere on rental property. if the landlord chooses to do so, then the rental agreement must specify where on the property smoking is prohibited. if a landlord chooses to prohibit smoking after a rental agreement is entered into, the landlord must provide you with adequate notice of this change.69.1 A landlord cannot prevent you from posting political signs, as long as the sign is less than six square feet in size and is not otherwise prohibited by law. if no local ordinance gives time limits for how long you may have the sign up, your landlord may establish a reasonable time limit for the posting and removal of the sign. A “reasonable” time period means at least 90 days before the election or vote to which the sign refers and at least 15 days after.69.2
It is important that you understand all of the terms of your rental agreement or lease. If you don’t comply with them, the landlord may have grounds to evict you.
Don’t sign a rental agreement or a lease if you think that its terms are unfair. If a term doesn’t fit your needs, try to negotiate a more suitable term (for example, a smaller security deposit or a lower late fee). It’s important that any agreed-upon change in terms be included in the rental agreement or lease that both you and the landlord sign. If you and the landlord agree to change a term, the change can be made in handwriting in the rental agreement or lease. Both of you should then initial or sign in the area immediately next to the change to show your approval of the change. Or, the document can be retyped with the new term included in it.
If you don’t agree with a term in the rental agreement or lease, and can’t negotiate a better term, carefully consider the importance of the term, and decide whether or not you want to sign the document.
The owner of the rental unit or the person who signs the rental agreement or lease on the owner’s behalf must give you a copy of the document within 15 days after you sign it.70 Be sure that your copy shows the signature of the owner or the owner’s agent, in addition to your signature. Keep the document in a safe place.
Tenants have basic legal rights that are always present no matter what the rental agreement or lease states. These rights include all of the following:
These and other rights will be discussed throughout the rest of this booklet.
Landlord’s and tenant’s duty of good faith and fair dealing
Every rental agreement and lease requires that the landlord and tenant deal with each other fairly and in good faith. Essentially, this means that both the landlord and the tenant must treat each other honestly and reasonably. This duty of good faith and fair dealing is implied by law in every rental agreement and every lease, even though the duty probably is not expressly stated.73
If the utility meter for your rental unit is shared with another unit or another part of the building, then the landlord must reach an agreement with you on who will pay for the shared utilities. This agreement must be in writing (it can be part of the rental agreement or lease), and can consist of one of the following options:
A landlord must allow a tenant with a disability to make reasonable modifications to the rental unit to the extent necessary to allow the tenant “full enjoyment of the premises.”71 The tenant must pay for the modifications. As a condition of making the modifications, the landlord may require the tenant to enter into an agreement to restore the interior of the rental unit to its previous condition at the end of the tenancy. The landlord cannot require an additional security deposit in this situation. However, the landlord and tenant may agree, as part of the tenant’s agreement to restore the rental unit, that the tenant will pay a “reasonable estimate” of the restoration cost into an escrow account.72
If the rental unit was constructed before 1978, the landlord must comply with all of these requirements:
Periodic pest control treatments
A pest control company must give written notice to the landlord and tenants of rental property regarding pesticides to be used when the company provides an initial treatment as part of an ongoing pest-control service contract. The landlord must give a copy of this notice to every new tenant who will occupy a rental unit that will be serviced under the service contract.79
Asbestos
Residential property built before 1981 may contain asbestos. A leading reference for landlords recommends that landlords make asbestos disclosures to tenants whenever asbestos is discovered in the rental property. (This book also contains detailed information on asbestos disclosures, and protections that landlords must provide their employees.)80
Carcinogenic material
A landlord with 10 or more employees must disclose the existence of known carcinogenic material (for example, asbestos) to prospective tenants.81
Residential property that has been used for methamphetamine production may be significantly contaminated.
A local health officer who inspects rental property and finds that it is contaminated with a hazardous chemical related to methamphetamine laboratory activities must issue an order prohibiting the use or occupancy of the property. This order must be served on the property owner and all occupants. The owner and all occupants then must vacate the affected units until the officer sends the owner a notice that the property requires no further action.
The owner must give written notice of the health officer’s order and a copy of it to potential tenants who have completed an application to rent the contaminated property. Before signing a rental agreement, the tenant must acknowledge in writing that he or she has received the notice and order. The tenant may void (cancel) the rental agreement if the owner does not does not comply with these requirements. The owner must comply with these requirements until he or she receives a notice from the health officer that the property requires no further action.82
These requirements took effect on January 1, 2006.
Demolition permit
The owner of a dwelling who has applied for a permit to demolish the dwelling must give written notice of this fact to a prospective tenant before accepting any fee from the tenant or entering into a rental agreement with the tenant. (The owner must give notice to current tenants, including tenants who haven’t moved in yet, before applying for a permit.) The notice must state the earliest approximate dates that the owner expects the demolition to occur and that the tenancy will end.83
Military base or explosives
A landlord who knows that a rental unit is within one mile of a closed military base in which ammunition or military explosives were used must give written notice of this fact to a prospective tenant. The landlord must give the tenant this notice before the tenant signs a rental agreement.84
Death in the rental unit
If a prior occupant of the rental unit died in the unit within the last three years, the owner or the owner’s agent must disclose this fact to a prospective tenant when the tenant offers to rent or lease the unit. The owner or agent must disclose the manner of death, but is not required to disclose that the occupant was ill with, or died from, AIDS. However, the owner or agent cannot intentionally misrepresent the cause of death in response to a direct question.85
Condominium conversion project
A rental unit may be in a condominium conversion project. A condominium conversion project is an apartment building that has been converted into condominiums or a newly constructed condominium building that replaces demolished residential housing. Before the potential tenant signs a lease or rental agreement, the owner or subdivider of the condominium project must give the tenant written notice that:
The notice must be in legally required language. This notice requirement applies only to condominium conversion projects that have five or more dwelling units and that have received final approval. If the notice is not given, the tenant may recover actual moving expenses not exceeding $1,100 and the first month’s rent on the tenant’s new rental unit, if any, not to exceed $1,100. These notice provisions do not apply to projects of four dwelling units or less, or as a result of transfers due to: court order (including probate proceedings), foreclosure proceedings, or trusts.86
At the beginning of the tenancy, the landlord most likely will require you to pay a security deposit. The landlord can use the security deposit, for example, if you move out owing rent, damage the rental unit beyond normal wear and tear, or leave the rental less clean than when you moved in.87
Under California law, a lease or rental agreement cannot say that a security deposit is “nonrefundable.”88 This means that when the tenancy ends, the landlord must return to you any payment that is a security deposit, unless the landlord properly uses the deposit for a lawful purpose, as described below and under Refunds of Security Deposits.
Almost all landlords charge tenants a security deposit. The security deposit may be called last month’s rent, security deposit, pet deposit, key fee, or cleaning fee. The security deposit may be a combination, for example, of the last month’s rent plus a specific amount for security. No matter what these payments or fees are called, the law considers them all, as well as any other deposit or charge, to be part of the security deposit.89 The one exception to this rule is stated in the next paragraph.
The law allows the landlord to require a tenant to pay an application screening fee, in addition to the security deposit.90 The application screening fee is not part of the security deposit. However, any other fee charged by the landlord at the beginning of the tenancy to cover the landlord’s cost of processing a new tenant is part of the security deposit.91 Here are examples of the two kinds of fees:
The law limits the total amount that the landlord can require you to pay as a security deposit. The total amount allowed as security depends on whether the rental unit is unfurnished or furnished and whether you have a waterbed.
The landlord normally cannot require that you pay the security deposit in cash. (see Living in the Rental Unit, Check or Cash)
Suppose that you ask the landlord to make structural, decorative or furnishing alterations to the rental unit, and that you agree to pay a specific amount for the alterations. This amount is not subject to the limits on the amount of the security deposit discussed above, and is not part of the security deposit. Suppose, however, that the alterations that you have requested involve cleaning or repairing damage for which the landlord may charge the previous tenant’s security deposit. In that situation, the amount that you pay for the alterations would be subject to the limits on the amount of the security deposit and would be part of the security deposit.94
A payment that is a security deposit cannot be nonrefundable.95 However, when you move out of the rental, the law allows the landlord to keep part or all of the security deposit in any one or more of the following situations:
If none of these circumstances is present, the landlord must return the entire amount that you have paid as security. However, if you have left the rental very dirty or damaged beyond normal wear and tear, for example, the landlord can keep an amount that is reasonably necessary to clean or repair the rental.96 Deductions from security deposits are discussed in detail in Refunds of Security Deposit.
Make sure that your rental agreement or lease clearly states that you have paid a security deposit to the landlord and correctly states the amount that you have paid. The rental agreement or lease should also describe the circumstances under which the landlord can keep part or all of the security deposit. Most landlords will give you a written receipt for all amounts that you pay as a security deposit. Keep your rental agreement or lease in case of a dispute.97
You and the landlord or the landlord’s agent should fill out the Inventory Checklist (or one like it). It’s best to do this before you move in, but it can be done two or three days later, if necessary. You and the landlord or agent should walk through the rental unit together and note the condition of the items included in the checklist at the top of the checklist in the “Condition Upon Arrival” section.
Both of you should sign and date the checklist, and both of you should keep a copy of it. Carefully completing the checklist at the beginning of the tenancy will help avoid disagreements about the condition of the unit when you move out. See additional suggestions on the Inventory Checklist form.
Renter’s insurance protects the tenant’s personal property from losses caused by fire or theft. It also protects a tenant against liability (legal responsibility) for many claims or lawsuits filed by the landlord or others alleging that the tenant has negligently (carelessly) injured another person or damaged the person’s property. Renter’s insurance usually only protects the policyholder. It would not protect the roommate’s personal property; in order to be protected, the roommate must take out his or her own policy.
Carelessly causing a fire that destroys the rental unit or another tenant’s property is an example of negligence for which you could be held legally responsible.98 You could be required to pay for the losses that the landlord or other tenant suffers. Renter’s insurance would pay the other party on your behalf for some or all of these losses. For that reason, it’s often a good idea to purchase renter’s insurance.99
Renter’s insurance may not be available in every area. If renter’s insurance is available, and if you choose to purchase it, be certain that it provides the protection you want and is fairly priced. You should check with more than one insurance company, since the price and type of coverage may differ widely among insurance companies. The price also will be affected by how much insurance protection you decide to purchase.
Your landlord probably has insurance that covers the rental unit or dwelling, but you shouldn’t assume that the landlord’s insurance will protect you. If the landlord’s insurance company pays the landlord for a loss that you cause, the insurance company may then sue you to recover what it has paid the landlord.
you want to use a waterbed, the landlord can require you to have a waterbed insurance policy to cover possible property damage.100
Some California cities have rent control ordinances, that limit or prohibit rent increases.101 Some of these ordinances specify procedures that a landlord must follow before increasing a tenant’s rent, or that make evicting a tenant more difficult for a landlord. Each community’s ordinance is different.
For example, some ordinances allow landlords to evict tenants only for “just cause.” Under these ordinances, the landlord must state and prove a valid reason for terminating a month-to-month tenancy. Other cities don’t have this requirement.
Some cities have boards that have the power to approve or deny increases in rent. Other cities’ ordinances allow a certain percentage increase in rent each year. Because of recent changes in State law, all rent control cities now have “vacancy decontrol.” This means that the landlord can re-rent a unit at the market rate when the tenant moves out voluntarily or when the landlord terminates the tenancy for nonpayment of rent.
Some ordinances make it more difficult for owners to convert rentals into condominiums.
Some kinds of property cannot be subject to local rent control. For example, property that was issued a certificate of occupancy after February 1995 is exempt from rent control. Beginning January 1, 1999, tenancies in single family homes and condos are exempt from rent control if the tenancy began after January 1, 1996.102
A rent control ordinance may change the landlord-tenant relationship in other important ways besides those described here. Find out if you live in a city with rent control. (See the list of cities with rent control in Appendix 2.) Contact your local housing officials or rent control board for information. You can find out about the rent control ordinance in your area (if there is one) at your local law library,103 or by requesting a copy of your local ordinance from the city or county clerk’s office. Some cities post information about their rent control ordinances on their Web site (for example, information about Los Angeles’ rent control ordinance is available at www.lacity.org/lahdinternet/).
Before you decide on a rental unit, there are several other points to consider. For example: Is an oral rental agreement legally binding? What are the differences between a lease and a rental agreement? What are some of the advantages and disadvantages of each? This section answers these and other questions.
General information
Before you can rent a rental unit, you and the landlord must enter into one of two kinds of agreements: a periodic rental agreement or a lease. The periodic rental agreement or lease creates the tenant’s right to live in the rental unit. The tenant’s right to use and possess the landlord’s rental unit is called a tenancy.
A periodic rental agreement states the length of time (the number of days) between the rent payments – for example a week (seven days) or a month (30 days). The length of time between rent payments is called the rental period.
A periodic rental agreement that requires one rent payment each month is a month-to-month rental agreement, and the tenancy is a month-to-month tenancy.51 The month-to-month rental agreement is by far the most common kind of rental agreement, although longer (or shorter) rental periods can be specified.
If the periodic rental agreement requires that rent be paid once a week, it is a week-to-week rental agreement and the tenancy is a week-to-week tenancy.52
In effect, a periodic rental agreement expires at the end of each period for which the tenant has paid rent, and is renewed by the next rent payment.53 A periodic rental agreement does not state the total number of weeks or months that the agreement will be in effect. The tenant can continue to live in the rental unit as long as the tenant continues to pay rent, and as long as the landlord does not ask the tenant to leave.
In a periodic rental agreement, the length of time between the rent payments (the rental period) determines three things:
In an oral rental agreement, you and the landlord agree orally (not in writing) that you will rent the rental unit. In addition, you agree to pay a specified rent for a specified period of time – for example, a week or a month. This kind of rental agreement is legally binding on both you and the landlord, even though it is not in writing unless a tenant and a landlord agree to the lease of a rent unit for more than one year, the agreement must be in writing.55 If such an agreement is not in writing, it is not enforceable. If you have a valid oral agreement and later have a disagreement with your landlord, you will have no written proof of the terms of your rental agreement. Therefore, it’s usually best to have a written rental agreement.
However, even if the agreement is oral, the landlord must give you a written statement regarding the name, street address, and phone number of the landlord or agent for receipt of legal notices; the contact information for the person who is to accept the rent; and how the rent is to be paid (for example by cash, check or money order.)56
It’s especially important to have a written rental agreement if your tenancy involves special circumstances, such as any of the following:
A written rental agreement is a periodic rental agreement that has been put in writing. The written rental agreement specifies all the terms of the agreement between you and the landlord – for example, it states the rent, the length of time between rent payments, and the landlord’s and your obligations. It may also contain clauses on pets, late fees, and amount of notice.
The length of time between rent payments is important. In most cases, the amount of advance notice that the landlord gives you when notifying you of changes in the terms of the tenancy must be the same as the length of time between rent payments. For example, if you have a month-to-month rental agreement, the landlord usually must give you 30 days’ advance written notice of changes such as an increase in the charge for parking or an increase in the security deposit.
In addition, the amount of advance written notice that you give the landlord before you move out of the rental unit must be the same as the length of time between rent payments. For example, in a month-to-month rental agreement, you must give the landlord at least 30 days’ advance written notice in order to end the rental agreement (see Tenant’s notice to end a periodic tenancy). If you have a week-to-week rental agreement, you must give the landlord at least seven days’ advance written notice in order to end the rental agreement.
Normally the amount of advance written notice that the landlord gives the tenant to change the terms of the tenancy must be, at a minimum, the same as the length of time between rent payments. However, the landlord and tenant can specifically agree in writing to a shorter amount of notice (a shorter notice period).57 A landlord and a tenant who have a month-to-month rental agreement might agree to 10 days’ advance written notice for a change in the terms of the agreement (other than the rent). This would allow the landlord, for example, to increase the charge for parking or end the tenancy by giving the tenant 10 days’ advance written notice. Similarly, the tenant could end the tenancy by giving the landlord 10 days’ advance written notice. However, the notice period agreed to by the landlord and the tenant can never be shorter than seven days.58
If you have a written periodic rental agreement, special rules apply to the amount of advance notice that the landlord must give you to raise the rent.
A lease states the total number of months that the lease will be in effect – for example, six or 12 months. Most leases are in writing, although oral leases are legal. If the lease is for more than one year, it must be in writing.59
It is important to understand that, even though the lease requires the rent to be paid monthly, you are bound by the lease until it expires (for example, at the end of 12 months). This means that you must pay the rent and perform all of your obligations under the lease during the entire lease period.60
There are some advantages to having a lease. If you have a lease, the landlord cannot raise your rent while the lease is in effect, unless the lease expressly allows rent increases. Also, the landlord cannot evict you while the lease is in effect, except for reasons such as your damaging the property or failing to pay rent.
A lease gives the tenant the security of a long-term agreement at a known cost. Even if the lease allows rent increases, the lease should specify a limit on how much and how often the rent can be raised.
The disadvantage of a lease is that if you need to move, a lease may be difficult for you to break, especially if another tenant can’t be found to take over your lease. If you move before the lease ends, the landlord may have a claim against you for the rent for the rest of the lease term.
Before signing a lease, you may want to talk with an attorney, legal aid organization, housing clinic, or tenant-landlord program to make sure that you understand all of the lease’s provisions, your obligations, and any risks that you may face.
Some buildings have a single gas or electric meter that serves more than one rental unit. In other buildings, a tenant’s gas or electric meter may also measure gas or electricity used in a common area, such as the laundry room or the lobby. In situations like these, the landlord must disclose to you that utility meters are shared before you sign the rental agreement or lease.61 If you become a tenant, the landlord must reach an agreement with you about who will pay for the shared utilities.
Rental units in older buildings may not have separate water meters or submeters. California law does not specifically regulate how landlords bill tenants for water and sewer utilities. Ask the landlord if the rental unit that you plan to rent has its own water meter or submeter. If it does not, and if the landlord will bill you for water or sewer utilities, be sure that you understand how the landlord will calculate the amount that you will be billed.62
A landlord and a tenant may negotiate primarily in Spanish, Chinese, Tagalog, Vietnamese or Korean for the rental, lease, or sublease of a rental unit. In this situation, the landlord must give the tenant a written translation of the proposed lease or rental agreement in the language used in the negotiation before the tenant signs it.63 This rule applies whether the negotiations are oral or in writing. The rule does not apply if the rental agreement is for one month or less.
The landlord must give the tenant the written translation of the lease or rental agreement whether or not the tenant requests it. The translation must include every term and condition in the lease or rental agreement, but may retain elements such as names, addresses, numerals, dollar amounts and dates in English. It is never sufficient for the landlord to give the written translation of the lease or rental agreement to the tenant after the tenant has signed it.
However, the landlord is not required to give the tenant a written translation of the lease or rental agreement if all of the following are true:
If a landlord who is required to provide a written translation of a lease or rental agreement in one of these languages fails to do so, the tenant can rescind (cancel) the agreement.
Choosing the right type of flooring in your rentals can be a big decision. Not only does it make a huge difference in the appeal of your units, but also the cost it takes to maintain it.
Of the most popular flooring installations these days, carpet still takes the cake in terms of its market share – something around 60% of material used to floor property is still carpet. But in addition, vinyl is making moves in a huge way in the industry, becoming one of the prime choices of those looking to update their properties in any number of rooms.
So why is vinyl making such headway? Because of the state of the economy these days, being aware of expense has made the consumer more savvy to items that give them more bang for their buck – both now with the price of the materials, but also ongoing in terms of maintenance and other ancillary costs like heating. This is good news since it means what’s trendy now won’t be frivolous and will end up being a good investment for years to come.
Vinyl is easy to clean and can fit into any unit, décor notwithstanding. It’s one of the most versatile, comfortable, and stain-resistant types of flooring possible – a property manager’s dream. Plus, vinyl these days is such a chameleon product. It can morph into whatever other floor you’d like it to resemble: wood, stone, or tile for example. And these types of luxury doppelganger vinyl are priced at a range that still puts them well in the center of the flooring cost spectrum.
Vinyl also stands up to moisture better than wood, making it a good choice in kitchens, bathrooms, or other areas of a home prone to exposure to the elements. And for chilly days, vinyl “tile” flooring in bathrooms is less cold underfoot. So as summer falls into winter, you have a good option for your next renovations.
