Realty Times July 29, 2010

Tenants from Heaven
by Richard Thompson

The phrase "absentee landlord" in a homeowner association context conjures up images of the "tenant from hell" and an owner who could care less. However, generally speaking, both the landlord and tenant want the highest and best returns on their investments. What benefits the homeowner association will also benefit them.

The board can take some steps that will help assure a more successful tenancy. For one, it is reasonable to want tenants and landlords to comply with the rules. Of course, the tenant has to know what they are in order to do that. Remind the landlord that the tenant is bound by the same rules as owners and require that the HOA rules are part of every Rental Agreement. It's up to the landlord to comply and failure to do so can be a fineable violation against the landlord. Include renters with other residents who receive information about the rules.

Landlords should be required to provide the board with:

  • Name of the tenant and contact information.

  • Vehicle(s) information (make, model, plate number).

  • Copy of the Rental Agreement that references the HOA rules as a condition of the agreement. This is very important because it places the burden on the landlord to advise the tenant of rules and shows that the tenant received that information.

  • While the HOA cannot require it, common sense and good management practice indicate that landlords should also:

  • Perform credit checks on prospective tenants.

  • Check several previous landlord references. The most recent landlord may have a vested interest in getting this tenant out.

  • Have read and understand the state's landlord-tenant laws.

  • Identify all occupants in the lease by name to avoid "musical" tenants.

While the landlord is the key to properly framing a tenant's role within the HOA, it's also important that the board, manager and owners refrain from treating tenants like second-class citizens. When treated with respect and like owner members of the community, they usually act the part by taking care of the property and respecting the neighbors. Treat renters like owners and reap tenants from heaven.

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