Posts Tagged ‘Evictions’

5 ways to collect on a judgment

Written by Laura Agadoni on . Posted in edited, For Landlords, Laws & Regulations, Leases & Legal, paid, Rent & Expenses, Screening

Collecting on a JudgementThe bad news: your tenant left owing you money.

The good news: you just won a money judgment in court against that tenant.

Time to celebrate?

Not really.

Although you’re supposed to get the money your tenant owes you after you win a money judgment, actually getting the money is another matter.

It’s not always easy to collect money on a judgment.

The court’s job ends with the judgment. Collecting on that judgment is on you. Your ex-tenant might pay you immediately, and if so, great. Now it is time to celebrate. But what do you do if they don’t?

Related: How to file a small claims lawsuit against your landlord or renter

1. Ask for it

This simple solution often works. Draft a letter to your ex-tenant requesting the money.

  • Let this person know what they owe you.
  • Tell them if they don’t pay by X date, you will begin a collection process.
  • Mention that if you begin a collection process, the transaction will appear on their credit report.
  • You might wish to remind your ex-tenant that having a collection on their credit report will make it difficult to rent another place or to obtain a mortgage.

Many tenants, not wanting their credit affected, will pay.

2. Garnish wages

Almost every state allows wage garnishment, a process that allows creditors to take up to 25 percent of a debtor’s wages until the debt is paid. You must know where your ex-tenant works to do this. You might have this information on the application your ex-tenant filled out. The rest of the procedure varies by state, but typically, you do the following:

  • Go to your local courthouse and ask for a garnishment order.
  • This goes to your ex-tenant’s employer.
  • The employer then withholds money from your ex-tenant’s paycheck until the debt is paid to you.

3. Garnish bank account

Similar to wage garnishment, you must know something about your ex-tenant—in this case where they bank—and ideally, their bank account number. You might have some bank information on the application your ex-tenant filled out, or you can get the information from a cancelled check. If your tenant paid you by check, then you have it. If not, you might be able to find someone who has received a check by your ex-tenant. You then go to your local courthouse and follow the procedure for garnishing the bank account.

4. Request information from the court

If you don’t know where your ex-tenant works or where they bank, you can request a formal procedure at your local courthouse, usually called a “debtor’s examination.” Your ex-tenant might then be ordered to fill out a form that lists their employer and bank information. Or they may be subpoenaed to appear before the court at a hearing to answer your questions. You will have the opportunity to find out the information you will need to collect money:

  • Where they work
  • The contact information of their employer
  • Where they bank
  • Their bank account number

5. Hire a collection agency

You’ll have to pay to use a collection agency, but recovering some of your money is better than receiving nothing. Unfortunately, the odds of a collection agent being successful in collecting money your tenant owes you are not that good. But you can increase your chances by hiring a recommended and reputable collection agency that specializes in working with landlords. Ask your lawyer, accountant, or other professional you know for a referral.

Related: The problem with collection agencies

The bottom line

Sure, you can collect on a judgment. But there’s no guarantee you’ll be successful or whether it will be worth your time and effort to pursue the money. Only you can make that determination based on how much your tenant owes you and on how busy you are. In most jurisdictions, you have between five and 20 years to collect. So if you’re not up to the job now, or if your ex-tenant has no assets at this time, you might be able to collect your money in the future.

The best course of action is to screen your tenants before renting to them. There’s no guarantee you won’t be burned when you screen tenants, but your chances of renting to a deadbeat tenant are lessened. Keep in mind that the Cozy tenant screening process is free for landlords, and I highly recommend it.

Related: 6 Ways to Find Your Deadbeat Ex-Tenants

Can a landlord take possession of an abandoned property?

Written by Laura Agadoni on . Posted in edited, For Landlords, Laws & Regulations, paid

Can a landlord take over an abandoned propertyThe answer is a resounding, “Yes!” Landlords can most definitely take over abandoned property.

The real question, though, is how?

Even if you have a signed lease with your tenant, they don’t always stay the entire lease term. Things happen:

  • Maybe they could no longer afford rent.
  • They found a better job elsewhere.
  • They are in jail.
  • They are in the hospital.

Whatever the reason, if your tenant left without telling you, they have left you with an abandoned property.

It’s never a good idea to have an abandoned property. For one, you’re probably not collecting rent. You can sue your ex-tenant for rent until you find a new tenant—that is if you can find your ex-tenant.

Related: 6 ways to find your deadbeat ex-tenants

Another reason abandoned property is not good is that it opens your property up to the possibilities of squatters, vandals, water damage, and fire.

Related: Risks of leaving a property vacant

I have a clause in my lease that states what happens if the tenants will be gone for just seven days:

There is no question that you can and should take control of your abandoned property, but you can’t just start re-keying and tossing out your ex-tenants’ belongings.

Why not?

Your tenant might have left but had every intention of returning to the property. If you took possession in that instance, your tenant could claim wrongful eviction, and you might need to pay damages.

Here’s what to do if you suspect your tenant abandoned your property.

Determine whether the property is truly abandoned:

Unless your tenant told you they were moving out early, you can’t necessarily be sure they abandoned the property just because no one’s been home for a few days or even weeks. Assuming they abandoned the property is not the same as knowing they abandoned the property. Here are some ways to tell.

1. Your tenant is still paying rent

If your tenant continues to pay rent, even though they haven’t been living there for a while, it means the place is not abandoned. In this case, it’s best to contact your tenant to find out what’s going on. If they are away for an extended time, let them know that you or your representative will need to check on the place every week or so until they return. It’s unsafe to leave a property vacant. If your tenant has stopped paying rent and is gone, they might have abandoned the property.

2. Speak with the emergency contacts

This is one of the times to call the emergency contacts listed on your application. Let them know your concerns and ask if they know whether your tenant has moved out.

3. Ask the neighbors

Maybe one of the neighbors saw your tenant moving out.

4. Check to see whether the utilities are off

Give your tenant 24-hours’ notice that you will come in. If you hear back, you can ask what’s going on. But if you don’t get a response, come over and check all the utilities. If they are off, it’s a sign the place might be abandoned.

5. Check for garbage and old food

If the place has old garbage and rotting food in it, you have found another sign that your tenant might have abandoned the property.

What to do with abandoned personal property left behind

If there are valuables such as clothing and furniture still in the unit, the place might not be abandoned. But then again, it might. In this case, you need to get in touch with the tenant. Notify them to pick up their property by a certain date. If they don’t get it by that date, let them know that you will dispose of it, donate it, or keep it for yourself.

Related: What to Do with Abandoned Personal Property

Once you determine the place is abandoned:

If your tenant has stopped paying rent, their emergency contacts told you your tenant has moved, the utilities are off, and nothing is left in the rental, you can probably determine that your tenant abandoned the property. Here’s what to do.

1.  Send a letter

Send your tenant a letter notifying them they have 10 days to let you know whether they have abandoned the rental unit. If you have not heard from them, you will declare the property abandoned.

2. Take photos

Take photos of the property that demonstrate why you think the place has been abandoned, such as lack of furniture or an overgrown lawn.

3. Document and describe the situation

Document the reasons you believe the place has been abandoned, such as not receiving rent or finding that the utilities have been turned off. Note the date of the last rent payment you received.

4. Record your conversations with the neighbors

Keep a record of any interviews you had with emergency contacts or neighbors.

5. Use USPS certified mail

Send all communication to your tenant through certified mail to prove you tried to contact them about whether they have moved and about picking up their belongings.

It’s never fun to find that your property has been abandoned. Your job now is to mitigate your losses by doing something about it. Take back your property as soon as possible, but make sure you do so the right way.

It’s best to have a lease clause that addresses abandonment issues. But whether you have such a lease clause or not, take the necessary steps to document your reasons for taking back your property.

When is rent considered received?

Written by Kathy Adams on . Posted in edited, For Renters, Leases & Legal, paid, payment, rent, Rent & Expenses, rent received

When is rent due?When it comes to paying the rent on time, all methods are not created equally.

A mailed check, for instance, may be considered received when a landlord receives the letter, not the postmarked date – depending on what your lease says. Online payments may go through instantly and considered received as soon as the tenant initiates the payments. No matter what, it’s best not to push the limits on your monthly rent calendar if you want to avoid landlord-tenant friction, or worse yet, eviction.

The due date is the due date

Although many mortgage companies offer a payment grace period beyond the listed due date, the same is usually not true for rental payments.

If your rent is due on the 1st of each month, for instance, your landlord expects to receive it by the 1st. However, in some states, when the 1st falls on a Sunday and your mailed rent check shows up on Monday the 2nd, this is acceptable.

Read your rental agreement

Some landlords give a grace period, so be sure to read your lease to find out the actual due date and whether there is a grace period. Read this section thoroughly, as it also explains what happens if the payment date falls on a weekend or holiday. This area should also list acceptable payment methods and what to do if the landlord is on vacation, for instance.

Grace periods

Some leases have grace periods, either by law or by preference. A five day grace period means that rent due on the 1st wouldn’t get a late fee until the 6th. However, this does not mean that rent is actually due on the 5th – but that’s the message that is inadvertently conveyed. Rent is due on the due date – please don’t make a habit out of paying within the grace period.

Related: Don’t allow a grace period unless required by law

When you can relax after payment

In person: Your rent is considered received when it’s in the landlord’s office, if you pay in person.

In cash: Get a receipt to prove payment if your landlord accepts cash.

By check: If you mail your rent payments, the “received by” date is when the letter is received by the landlord. Postmark dates don’t matter when paying rent. The IRS allows you to postmark your taxes because the Postal Service is part of the federal government and therefore the government has “received” your taxes as soon as you mail them. But the USPS is not an extension of your landlord, so you need to take into account the mailing time when sending your check. A check sent on time but  returned due to insufficient funds means your payment is late.

Online payments: If you pay via online bill pay, a confirmation email showing proof of payment should suffice.

Paying through Cozy: Paying rent becomes a streamlined process through Cozy. This convenient app allows you to make automated monthly payments on a date you select. It’s free if you connect the app to your checking account, and you won’t have to think about the rent payment ever again. This method is also ideal if you are paid via direct deposit or if you keep enough cash in the account to cover the rent.

Bank transfer considerations

A manual bank transfer is a way to pay the rent, but it’s not the best way (unless you and your landlord use the same bank).

Let’s say you pay via bank transfer performed manually (not automatically) each month. You initiated a payment on September 1, a Friday, for a payment due the same day. Two weekend days follow, then Monday is Labor Day and the banks aren’t open. The transfer doesn’t complete until nearly a week later due to the holiday and bank processing times, which can take three to five days. Your landlord isn’t happy that your payment took so long to show up in their account. Mailing a check probably would have been faster.

Note: The exception is if you and your landlord use the same bank. In that case, the money typically transfers immediately or within minutes.

If making transfers manually, set them up well ahead of the due date to ensure they arrive close to the actual due date. Otherwise, opt for an automatic monthly withdrawal via an automatic clearing house (ACH) to ensure your payment arrives consistently on time. Cozy uses this method.

The one potential drawback to ACH payments: you must have enough money in the connected bank accounted to ensure the payments clear. If you don’t have enough to cover the rent payment when an automatic payment initiates, your account might be charged for insufficient funds and/or your rent payment won’t go through.

Better early than late

Waiting until the last minute to pay rent could spell serious trouble.

Check your state laws to determine how soon the landlord can take action over late or missing rent. Your landlord has a legal right to evict any tenant who doesn’t pay within the legal time frame. Turning in that check a little late more than once could also make your landlord less likely to offer a lease renewal.

Paying a few days early helps eliminate the stress of wondering whether the landlord received your payment on time. It also shows the landlord that you’re a reliable tenant. A stress-free, peaceful rental arrangement benefits both you and your landlord. Ditch the due-date pressure and make your life simpler with Cozy or other early automated payments. Your brain will thank you for it.

Tenant move-out letter plus 2 other free templates

Written by Laura Agadoni on . Posted in edited, For Landlords, Landlord Tips, Leases & Legal, Move-in/Move-out, paid, Rent & Expenses, Security Deposits, Step 12 - Move-Out

Your goal as a landlord is not only to have tenants but to keep tenants (the good ones anyway) as long as possible. But no matter how wonderful you are as a landlord, and how great your rental may be, there usually comes a time when your tenant needs to move.

When your tenant plans to move, you should make the move-out process as smooth as possible. This benefits you and your tenant—when your tenant knows what to expect, they’re more likely to meet your expectations. Here are some templates you can use when your tenants’ leases are about to end.

The lease renewal letter

If you want your tenant to sign a new lease, contact them about two months before the current lease is due to end. The purpose of the lease renewal letter is to find out what their intentions are and to explain what they need to do if they wish to continue to live in your rental.

Tip: This is the time to raise the rent if you intend to.

Related: How to raise the rent in 4 easy steps [free template]

Related: Should I increase rental rates every year?

Note: If you do nothing after the lease ends, and your tenant stays, your tenant becomes a month-to-month tenant.

Lease renewal letter template

Note: You don’t have to increase the rent. If you don’t want to, change that section to reflect the rent will remain the same.

2. The move-out letter

If your tenant decides not to renew and wishes to move, send them a move-out letter about a month before the lease ends. The purpose is to give instructions on what you expect of your tenant.

Move-out letter template

Note: This letter contains language about lease requirements. Make sure yours does as well before you include that.

3. Notice to pay rent or quit

If your current tenant missed a rent payment (or two), you probably shouldn’t invite them to renew the lease. In fact, you should send them a letter asking them to pay the rent ASAP or leave.

Notice to pay rent or quit template

Once you rent your property, you will hopefully have wonderful tenants who stay a long time. But since that isn’t always the case, you can still make things easier for everyone involved if you are proactive with your tenants by letting them know what the expectations are during move-out time.

Do I have to pay rent if I lose my job?

Written by Laura Agadoni on . Posted in edited, For Renters, Leases & Legal, paid, Rent & Expenses

The short answer is YES! If you’re in financial trouble and can’t pay all your bills, make sure you pay rent. Otherwise, you can be evicted.

Many people think they can get away with letting the rent slide when finances are tough. This is especially true when renters are in a mom-and-pop type of landlord situation (as opposed to a huge management company).

Not paying rent is one of the worst financial decisions you can make.

Just because you have a mom-and-pop landlord doesn’t mean you’re actually dealing with your mom or dad. Maybe you could get away with not paying money owed to your parents, but you shouldn’t take that risk with your landlord. If you do, you could be out on the streets.

You could be evicted

Not only could you be evicted for not paying rent, an eviction goes on your personal record. When you try to rent another place, the new landlord or property manager will look at your background check and see that you’ve been evicted. And that will make it difficult for you to rent another place.

Prioritize your payments

It’s never good to skip paying a bill, but if you’re in financial trouble because of a job loss or other reason, prioritize which bills you should pay first.

Your top priorities are survival needs: food, medical, and shelter. Make sure you stay healthy and have a roof over your head. Pay for your basic needs first.

It’s better to skip your credit card payment than your rent.

Next in line: pay utilities, your car payment, and legal obligations such as child support and taxes.

After you’ve paid all the above, pay your unsecured debt, such as credit card debt.

Communication is key

When you know you won’t be able to pay all your bills, call your creditors and explain the situation. You might be able to work out a payment plan that you can afford. Some creditors might agree to take a lump sum payment—for less than what you owe—as a settlement. This lessens your bill and eliminates your monthly payments.

Talk with your landlord

Let your landlord know right away if you can’t pay rent. Don’t bury your head in the sand, hoping the situation go away. And don’t keep this information from your landlord, in the hopes they won’t notice—they will.

Besides, if you’re up front with your landlord right away, they might work with you on a solution. They might let you pay rent late one time, for example. Or they might discount your rent moving forward if you do some work in return.

Related: 5 things to do when a tenant stops paying rent

Note: Most landlords are more likely to work with you if you’ve always paid the rent on time, before you lost your job (or whatever financial difficulty has come up), and if you followed all other lease terms.

Keep in mind that your landlord doesn’t have to agree to any arrangement other than what’s in the lease. Your landlord has their own bills to pay.

But it’s a good idea to ask if you can work something out if you find yourself in financial difficulty. Whether you think your landlord will agree to a special arrangement or not, let your landlord know about major changes in your life that affect your ability to pay rent, rather than just skipping out on rent payments.

Note: In general, big management companies are less likely to be flexible with rent payments than independent landlords.

Figure out a game plan

Look at your income and expenses. Maybe not being able to pay rent will only be a one-time incident. But if it looks as though you won’t be able to afford your rent payment moving forward, discuss options with your landlord. They might let you out of your lease, for example, if you agree to leave quickly.

Every situation is different, so discuss your particular case with your landlord.

Discuss your personal situation with your landlord.

What to do if you’re in financial trouble

Here are some measures you can take to help you get back on your feet:

  • File for and collect unemployment if you lost your job.
  • Ask about a hardship program. Call the customer service department for your credit card or loan, and ask about a hardship program that can help you pay your bill. These programs can help in various ways, such as lowering your monthly payment. In many cases, if you enter into a hardship program with your credit card issuer, they won’t report you to the credit bureaus (if you complete the program).
  • Go to your city or county government website for assistance programs. You will often find grants offered by charities, churches, and the government to help with your bills and rent.
  • Get counseling on how to budget. You can find reputable counselors from your local government website.
  • Ask your family or friends for help.

The bottom line

It’s tough to lose your job and then have problems paying your bills. But rent is not an expense you can skip out on. Don’t risk losing your home. Many landlords, if they can financially afford to, will try to come up with a plan that both of you can live with.

When can you withhold rent?

Written by Sarah Block on . Posted in edited, For Landlords, For Renters, Leases & Legal, paid, Step 10 - Repair & Maintain

communicationWhen a tenant withholds rent, it’s the last resort in a situation where they feel out of control. In this case, tenants do the only thing they can control: withhold pay.

But this can be a very risky move for tenants: it can result in eviction. There are better alternatives for dealing with a landlord who is ignoring complaints and not making fixes.

Here are the steps tenants can take to deal with a landlord who isn’t doing their job.

1. Make a list

Walk through your unit and make a list of all needed repairs. Break this down into two lists: legally required repairs and other. Legally required repairs would be anything that affects the structural integrity or habitability of the home. For instance, a leaky roof or broken heater affects the habitability. While an off-track closet door—not so much. Send your list to your landlord by mail, email, or text.

Landlord’s perspective:  As a landlord, I require all tenants to conduct their own pre-move-in inspection with pictures. They share the inspection and pictures with me. Now, we both know and agree on the condition of the unit upon move-in, and I become aware of any issues that may have gone unnoticed before.

Related: Record a video of the move-in/move-out inspection

2. Notify the landlord of the repairs needed

Inform your landlord in writing of the needed repairs. If legal action is needed, the first written notice begins the process. In your notice, tell the landlord what repairs are needed and why.

If you have previously asked for the repairs to be done verbally, make sure to note in writing each time you have discussed those repairs. If the needed repairs are cause for concern and make the property uninhabitable, be sure to note this in the letter. Tenants have the right to live in a habitable, safe, and healthy space.

Landlord’s Perspective: Welcome this process. It is best to fix the repairs as quickly as possible (they are also tax deductible). By receiving a list of needed repairs, you can fix them before they become unmanageable. Consider speeding up this process by using Cozy’s maintenance request app.

3.  Review your tenant’s rights by state

Every state has different laws regarding tenants and landlords. Make sure to review your state’s law to legally deal with the situation. Here are two examples:

California: Tenants are legally entitled to housing that is safe, healthy, and structurally sound. Housing also needs to be in good repair. Tenants can legally withhold rent, make repairs themselves and deduct from their rent, call the building inspector, sue the landlord, or move out without notice.

Texas: Tenants only have the option of “repair and deduct.” However, before a tenant can use the “repair and deduct” method they need to review the local laws. Most repairs do not qualify.

Local tenant’s laws also provide information on how long to wait before you can move to the next step.

California: Landlords have 30 days to make the repair (unless it poses danger).

Texas: The tenant needs to wait seven days after the written request before moving to the next step.

Landlord’s perspective: Know landlord/tenant law in your city and state well. This helps you maintain a proper tenant/landlord relationship and ensures you’re running your business legally.

Related: 2 basic renter’s rights included in every lease

4. Review your lease

Your lease might provide you with the information you need. Determine what repairs your landlord is required to make and what they are not.

Tenants should be aware that in most states, withholding rent will result in their eviction. A landlord is not required to make all repairs. What they are required to do is provide a habitable home. If the repair needed makes the home uninhabitable, and the landlord is refusing to fix it, the best course of action is to sue.

Landlord’s perspective: Make sure your lease covers all situations and is legal, using your local landlord/tenant laws. While your lease is there to protect you, it is also there to protect your tenant.

In conclusion

Withholding rent is a last-ditch effort to regain control in a situation where you may feel powerless, where you are living in a home that is not up to par. However, withholding rent is illegal in most states and difficult to walk away from without an eviction and mark on your credit score.

The best course of action is to follow these steps and know your rights. The always-legal option, in lieu of withholding rent, is to sue your landlord for not following through on their obligation: providing a safe, healthy, and habitable house.

Landlord Jailed Over Tenant Crime

Written by Apartment Management Magazine on . Posted in Blog

UnderArrestA Pittsburgh landlord recently was thrown in jail for six months because of his “nuisance” rental.

According to a news report, neighbors and police “suspected” the property was being used as a drug house. Police say they’ve been called to the house dozens of times over the past few years. Officers did find drug paraphernalia on at least one call, and have responded to drug overdoses in the area.

In response to complaints, a judge previously ordered the landlord to evict all of his tenants, pay a $10,000 fine to the city for the nuisance, and repair the house.

However, when the case was reviewed, the court found that the landlord had not fully complied with the order. Now, the landlord will serve a six month jail sentence for contempt of court — unless he complies with the order.

Meanwhile, police have boarded up the building, and city officials are considering demolishing the property, according to the report.

It is unclear in this case whether the tenants were charged with crimes, or if the complaints of neighbors — that tenants were awake and “active” at 5:00 am, or that tenants were “making money” at the property, would have been sufficient evidence to convict each of them of these alleged crimes.

A number of cities across the country have recently enacted similar “nuisance” laws requiring landlords to evict tenants for disruptive behavior or suspected criminal activity. Unfortunately, this can be a daunting task if there is no evidence of an individual tenant’s wrongdoing. Often, police do not charge individuals or issue tickets at the scene, choosing instead to pursue the landlord, who then may have to reconstruct the event and attempt to evict each of the tenants for cause. That places landlords in a no-win situation, especially when fines are being levied daily.

However, there are steps that landlords can take to avoid renting to nuisance tenants:

Be careful who you allow in the property; always screen each adult occupant, including a criminal background check.

Adopt a crime-free lease policy that tracks your local nuisance laws. Make sure you have the ability to evict a tenant who violates the policy, even if you can’t prove they violated the law. Local police may participate in landlord training programs that help reduce crime in the area.

Keep a close eye on the property by performing regular property inspections. If you suspect drugs or other dangerous activities, call the police rather than trying to solve the problem yourself.

Get to the know the neighboring property owners, or at the very least, make sure they have your phone number in case they see something suspicious going on at the rental. You don’t want to be the last to know.


logo_aaoa American Apartment Owners Association | Company Website 

Rental property management can be very demanding. Our job is to make this day-to-day property management process smoother. AAOA provides a host of services ranging from tenant screening to landlord rental application forms and contractor directory to apartment financing. 

Landlords Get Tough on Subletting

Written by Apartment Management Magazine on . Posted in Blog

KeysSeduced by the promise of extra income — a $100 or so a night in many cases — tenants across the country are looking to vacation rental service Airbnb to turn their apartments into profit centers through temporary sublets.

The most active markets are in major cities, including those with rent limits. In some cases, rent-controlled tenants are making more money than the landlord is legally allowed to charge.

Some call it ingenuity. But others, including property owners and managers, say it’s illegal.

As the practice grows in popularity, landlords are fighting back. For instance, in a recent report from San Francisco, a tenant who was earning $185 a night by taking in temporary boarders just got the boot. An eviction attorney says he’s filed about a dozen of these cases in the last few months, according to the report.

In New York, a landlord was slapped with fines when a tenant’s sublet violated the ban on short-term lodging.  The landlord deferred the eviction when the tenant agreed to pay the penalties and to stop renting out the spare bedroom.

Airbnb offers a turnkey service allowing visitors to search online listings for extra rooms or even empty couches in large cities around the world. Sublets in San Francisco alone are estimated in the thousands, according to the report.

Despite negative publicity,  the problem doesn’t seem to be going away.

If a lease agreement prohibits sublets, or short-term rentals violate local law, a landlord may have grounds to file an eviction. However, in some cases there is no built-in remedy for landlords against tenants who are exploiting a lease for profit.

And, some tenants won’t leave quietly. One tenant attorney told reporters that landlords are using the Airbnb situation as a “false pretense” to get rid of rent-controlled tenants. He negotiates lease buy-outs on behalf of tenants in cases where an eviction may be costly and protracted.

Airbnb says its policies discourage anyone from breaking the lease, or the law.


logo_aaoa American Apartment Owners Association | Company Website 

Rental property management can be very demanding. Our job is to make this day-to-day property management process smoother. AAOA provides a host of services ranging from tenant screening to landlord rental application forms and contractor directory to apartment financing. 

Lawmakers to Stall Evictions

Written by Apartment Management Magazine on . Posted in Blog

Senator& Mayor LeeCalifornia Senator Mark Leno joined San Francisco Mayor Ed Lee, other elected officials, tenant advocates, labor groups and business leaders to introduce legislation closing a loophole in the Ellis Act that allows speculators to buy rent-controlled buildings in San Francisco and immediately begin the process of evicting long-term renters.

Aiming to mitigate the negative impacts of a recent surge in Ellis Act evictions in San Francisco, Senate Bill 1439 authorizes San Francisco to prohibit new property owners from invoking the Ellis Act to evict tenants for five years after the acquisition of a property, ensures that landlords can only activate their Ellis Act rights once, and creates penalties for violations of these new provisions.

“The original spirit of California’s Ellis Act was to allow legitimate landlords a way out of the rental business, but in recent years, speculators have been buying up properties in San Francisco with no intention to become landlords but to instead use a loophole in the Ellis Act to evict long-time residents just to turn a profit,” said Senator Leno, D-San Francisco. “Many of these renters are seniors, disabled people and low-income families with deep roots in their communities and no other local affordable housing options available to them. Our bill gives San Francisco an opportunity to stop the bleeding and save the unique fabric of our City.”

Ellis Act evictions in San Francisco have tripled in the last year as more than 300 properties were taken off the rental market. This spike in evictions has occurred simultaneously with huge increases in San Francisco property values and housing prices. About 50 percent of the city’s 2013 evictions were initiated by owners who had held a property for less than one year, and the majority of those happened during the first six months of ownership.

“We have some of the best tenant protections in the country, but unchecked real estate speculation threatens too many of our residents,” said Mayor Lee. “These speculators are turning a quick profit at the expense of long time tenants and do nothing to add needed housing in our City.”

Enacted as state law in 1985, the Ellis Act allows owners to evict tenants and quickly turn buildings into Tenancy In Common (TIC) units for resale on the market. In San Francisco, the units that are being cleared are often rent controlled and home to seniors, disabled Californians and working class families. When these affordable rental units are removed from the market, they never return.

Senate Bill 1439 will be heard in Senate policy committees this spring.


logo_aaoa American Apartment Owners Association | Company Website 

Rental property management can be very demanding. Our job is to make this day-to-day property management process smoother. AAOA provides a host of services ranging from tenant screening to landlord rental application forms and contractor directory to apartment financing. 

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