Renting a home to college kids
August 17, 2011 6:57 AM Subscribe
Help my sister and her husband student-proof their new house
My sister and her husband have bought a house in Virginia, that will be rented to students.
They are about to start doing the pertinent modifications and remodeling, and would like some advice. I have read this question, but they're not as focused on helping them have a good time as they are on being good, serious, professional landlords.
Do you have any tips regarding furniture must haves, legal research they should do, avoiding risks, hacks in general? They haven't made a decision on whether we should rent out rooms or the house as a whole, either.
Should they include utilities, cleaning services, internet in their rent? We want to make this as easy an experience as it can be. None of us in the family know about deposits, and renting in general. So even basic knowledge and book recommendations would be welcome.
Thank you,
My sister and her husband have bought a house in Virginia, that will be rented to students.
They are about to start doing the pertinent modifications and remodeling, and would like some advice. I have read this question, but they're not as focused on helping them have a good time as they are on being good, serious, professional landlords.
Do you have any tips regarding furniture must haves, legal research they should do, avoiding risks, hacks in general? They haven't made a decision on whether we should rent out rooms or the house as a whole, either.
Should they include utilities, cleaning services, internet in their rent? We want to make this as easy an experience as it can be. None of us in the family know about deposits, and renting in general. So even basic knowledge and book recommendations would be welcome.
Thank you,
Do you mean a regular cleaning service? Or one at the end of the lease?
The prior is a little odd, the latter should be taken out of the security deposit if it is necessary beyond a spit-n-shine.
posted by griphus at 7:11 AM on August 17, 2011
The prior is a little odd, the latter should be taken out of the security deposit if it is necessary beyond a spit-n-shine.
posted by griphus at 7:11 AM on August 17, 2011
The point of being a landlord (really all for-profit ventures) is getting the most money for the least outlay, with the least risk. With that in mind, as a landlord I would never provide anything other than a roof, and possibly water/sewer if that's the standard in that locality.
Never internet. Why take the liability that the users are not torrenting movies and trading kiddie porn?
Never electricity. Without an economic alignment between cost and use, there is no incentive to do anything but run the AC at full blast while using an electric blanket.
Never a maid. The landlord could be held responsible for selecting the maid if the maid steals from the tenants.
Never any sort of entertainment--pool table, etc. You advertise that there is a pool table, and there may be an implicit promise to keep the pool table in good condition as part of the lease. You don't want to fight with a tenant for withheld rent because the pool table warped or something.
Never furniture. Again, you don't want to be responsible when the bed breaks and they want you to repair it or replace it. And you don't want to be responsible for bed bugs.
What do you want? Outfit everything (kitchen, carpets, bathroom, etc.) with the cheapest, heavy duty fixtures that you can get away with at the price point of the unit. For students, that's pretty damn cheap. For working professionals, you need to go more upscale.
Seriously, being a landlord is not running a B&B or a summer camp. It's squeezing every last penny out of a tenant.
posted by Admiral Haddock at 7:13 AM on August 17, 2011 [17 favorites]
Never internet. Why take the liability that the users are not torrenting movies and trading kiddie porn?
Never electricity. Without an economic alignment between cost and use, there is no incentive to do anything but run the AC at full blast while using an electric blanket.
Never a maid. The landlord could be held responsible for selecting the maid if the maid steals from the tenants.
Never any sort of entertainment--pool table, etc. You advertise that there is a pool table, and there may be an implicit promise to keep the pool table in good condition as part of the lease. You don't want to fight with a tenant for withheld rent because the pool table warped or something.
Never furniture. Again, you don't want to be responsible when the bed breaks and they want you to repair it or replace it. And you don't want to be responsible for bed bugs.
What do you want? Outfit everything (kitchen, carpets, bathroom, etc.) with the cheapest, heavy duty fixtures that you can get away with at the price point of the unit. For students, that's pretty damn cheap. For working professionals, you need to go more upscale.
Seriously, being a landlord is not running a B&B or a summer camp. It's squeezing every last penny out of a tenant.
posted by Admiral Haddock at 7:13 AM on August 17, 2011 [17 favorites]
This is repeating some stuff I said in the other question, but anyway:
-When I lived in a shared house, the house was rented as a whole, but there was an addendum on the lease that made each of us responsible for only our portion of the rent. Perhaps that effectively made it renting rooms, I don't know. Given the sum of money involved for the whole house and the fact there were ten of us, this gave us some peace of mind. (I think someone had a parent who was an attorney who drew up the addendum at some point before I lived there. The rest of the lease was looked like it was photocopied out of a 'how to be a landlord' book with some extra stuff written in the margins.)
-I suppose I would want/expect flat fee utilities (garbage) to be included in the rent and metered utilities to be dealt with by the renters. You'd have to check whether that exposes you to risk for unpaid bills (I wouldn't think so, but who knows). See story in the last post about our unpaid garbage bill.
-The landlord at that house was responsible for cutting the grass. I don't know that you can trust students to do it. (Actually, the stuff written in to the margin of the lease was about keeping the yard in reasonable shape. He'd had a bad experience in the past, but I think he was still cutting the grass with them.)
-If you're renting out the house as a whole, I would assume it would be unfurnished. Though putting lots of shelves in would make it appealing to renters. I mentioned cubbies in the kitchen in the last post. But if you had shelving in the living room, it could either be ignored or used as a bookcase, which would likely be appreciated.
-Seconding a cleaning service as odd. I've seen leases/apartments where you could agree to a cleaning fee being taken out of your security deposit at the end and not be responsible for cleaning the place yourself when you move out.
posted by hoyland at 7:15 AM on August 17, 2011
-When I lived in a shared house, the house was rented as a whole, but there was an addendum on the lease that made each of us responsible for only our portion of the rent. Perhaps that effectively made it renting rooms, I don't know. Given the sum of money involved for the whole house and the fact there were ten of us, this gave us some peace of mind. (I think someone had a parent who was an attorney who drew up the addendum at some point before I lived there. The rest of the lease was looked like it was photocopied out of a 'how to be a landlord' book with some extra stuff written in the margins.)
-I suppose I would want/expect flat fee utilities (garbage) to be included in the rent and metered utilities to be dealt with by the renters. You'd have to check whether that exposes you to risk for unpaid bills (I wouldn't think so, but who knows). See story in the last post about our unpaid garbage bill.
-The landlord at that house was responsible for cutting the grass. I don't know that you can trust students to do it. (Actually, the stuff written in to the margin of the lease was about keeping the yard in reasonable shape. He'd had a bad experience in the past, but I think he was still cutting the grass with them.)
-If you're renting out the house as a whole, I would assume it would be unfurnished. Though putting lots of shelves in would make it appealing to renters. I mentioned cubbies in the kitchen in the last post. But if you had shelving in the living room, it could either be ignored or used as a bookcase, which would likely be appreciated.
-Seconding a cleaning service as odd. I've seen leases/apartments where you could agree to a cleaning fee being taken out of your security deposit at the end and not be responsible for cleaning the place yourself when you move out.
posted by hoyland at 7:15 AM on August 17, 2011
1. Check local rent regulations. Most of the rentals in my part of the world are student rentals, and the landlords charge them by the semester (as the dorms would).
2. Assume that the students will destroy everything, and purchase accordingly.
3. If you're renting by the room, the lease will need to reflect shared access to bathrooms/common areas.
4. Many towns/cities/villages will ticket landlords if the lawn is unkempt, so your sister should be prepared to mow the lawn herself or hire a gardener.
5. Are there fire escapes? Fire extinguishers? Are all the fire alarms and carbon monoxide detectors in working order? (A student rental went up in smoke about a year ago...)
posted by thomas j wise at 7:21 AM on August 17, 2011
2. Assume that the students will destroy everything, and purchase accordingly.
3. If you're renting by the room, the lease will need to reflect shared access to bathrooms/common areas.
4. Many towns/cities/villages will ticket landlords if the lawn is unkempt, so your sister should be prepared to mow the lawn herself or hire a gardener.
5. Are there fire escapes? Fire extinguishers? Are all the fire alarms and carbon monoxide detectors in working order? (A student rental went up in smoke about a year ago...)
posted by thomas j wise at 7:21 AM on August 17, 2011
It may seem like a nitpicky thing, but I think it would be great for there to be an explicit, specific part written into the lease regarding wall damages. Usually leases only stipulate for "holes" and "damages in excess of wear and tear."
As an extremely responsible tenant, this puts me into a tailspin. Holes...how big are we talking here? What if I want to nail up a picture? Is a nail hole OK? What if it's not? What if I tape a poster on the wall and some paint peels off? What about that weird, random hole that was in the wall when I moved in? Is that an OK hole or was the previous tenant charged for it? (And calling the landlord and asking in a situation like this only results in JUST DON'T DAMAGE ANYTHING.) Uh...ok, but I do want to live in this space that I'm temporarily paying for.
It would be really cool if the lease could say "damage to the walls in excess of moderate poster hanging will be deducted from the security deposit." Or something.
The only furniture you should provide is a small amount (e.g. a table and four chairs, tops) of decent-quality (e.g. metal so it doesn't blow away in strong wind or get broken if used as a step stool) outdoor furniture. Indoor furniture should be provided (and destroyed) by the students themselves.
posted by phunniemee at 7:27 AM on August 17, 2011 [1 favorite]
As an extremely responsible tenant, this puts me into a tailspin. Holes...how big are we talking here? What if I want to nail up a picture? Is a nail hole OK? What if it's not? What if I tape a poster on the wall and some paint peels off? What about that weird, random hole that was in the wall when I moved in? Is that an OK hole or was the previous tenant charged for it? (And calling the landlord and asking in a situation like this only results in JUST DON'T DAMAGE ANYTHING.) Uh...ok, but I do want to live in this space that I'm temporarily paying for.
It would be really cool if the lease could say "damage to the walls in excess of moderate poster hanging will be deducted from the security deposit." Or something.
The only furniture you should provide is a small amount (e.g. a table and four chairs, tops) of decent-quality (e.g. metal so it doesn't blow away in strong wind or get broken if used as a step stool) outdoor furniture. Indoor furniture should be provided (and destroyed) by the students themselves.
posted by phunniemee at 7:27 AM on August 17, 2011 [1 favorite]
You might also want to check zoning regulations. Some communities have rules against more than X number of unrelated people sharing a house and often these rules are implemented specifically to keep loud college students out of peaceful family neighborhoods.
posted by mareli at 7:28 AM on August 17, 2011
posted by mareli at 7:28 AM on August 17, 2011
Take extensive photos and video of every nook and cranny before anyone moves in.
posted by k8t at 7:29 AM on August 17, 2011 [4 favorites]
posted by k8t at 7:29 AM on August 17, 2011 [4 favorites]
Utilities
I've always appreciated landlord's that include utilities. Sometimes student houses can have very high turnover rates (people graduating, going abroad, etc.) and it's difficult to keep transferring utilities from one name to another. Keep the utilities in your name and figure out what a good monthly average is for what you expect the utilities to be year-round. And then add $50 on top of that - for the hassel of you having to worrying about it, but also for the luxury of students not having to worry about it.
Also, if you can, run a cable line to every room. But let the tenants worry about the cable and internet bills.
House Repairs
Make sure to spell out in the lease exactly what you will be responsible to fix, how quick you will be to respond (2 am trip out to look at the washing machine?), etc.
Furniture
Don't. No furniture. It'll get absolutely wrecked.
Odds and Ends
It also might be worth it to contract a landscaping/snow shoveling company. In my old place, the landlord had a couple guys coming out like once every two months to tend to the bushes and lawn, and just keep up curb appeal in general. And it was an absolute lifesaver not having to shovel out after a big storm!
Make sure to specify in the lease your "stop-by" rights. How many days/hours do you have to give to stop by? Will you have your own keys? Will you use them to waltz right through? Make sure this is clearly laid out. Friend of a friend once attempted to sue his landlord for being in the apartment for hours on end when he wasn't home.
Neighbors
Although it's not directly your responsibility to keep the neighbors happy, do expect some flack at some point. I would preempt hostility and go over, say Hi, explain your plan, provide some "worst case scenario" contact numbers, promise to vet the kids. It wouldn't be a terrible idea to even put a line in the lease saying that if you get X number of complaints from the neighbors, the tenants will be fined $50. Use that $50 for a nice case of beer for the neighbors.
Hope this helps!
posted by jay.eye.elle.elle. at 7:29 AM on August 17, 2011 [1 favorite]
I've always appreciated landlord's that include utilities. Sometimes student houses can have very high turnover rates (people graduating, going abroad, etc.) and it's difficult to keep transferring utilities from one name to another. Keep the utilities in your name and figure out what a good monthly average is for what you expect the utilities to be year-round. And then add $50 on top of that - for the hassel of you having to worrying about it, but also for the luxury of students not having to worry about it.
Also, if you can, run a cable line to every room. But let the tenants worry about the cable and internet bills.
House Repairs
Make sure to spell out in the lease exactly what you will be responsible to fix, how quick you will be to respond (2 am trip out to look at the washing machine?), etc.
Furniture
Don't. No furniture. It'll get absolutely wrecked.
Odds and Ends
It also might be worth it to contract a landscaping/snow shoveling company. In my old place, the landlord had a couple guys coming out like once every two months to tend to the bushes and lawn, and just keep up curb appeal in general. And it was an absolute lifesaver not having to shovel out after a big storm!
Make sure to specify in the lease your "stop-by" rights. How many days/hours do you have to give to stop by? Will you have your own keys? Will you use them to waltz right through? Make sure this is clearly laid out. Friend of a friend once attempted to sue his landlord for being in the apartment for hours on end when he wasn't home.
Neighbors
Although it's not directly your responsibility to keep the neighbors happy, do expect some flack at some point. I would preempt hostility and go over, say Hi, explain your plan, provide some "worst case scenario" contact numbers, promise to vet the kids. It wouldn't be a terrible idea to even put a line in the lease saying that if you get X number of complaints from the neighbors, the tenants will be fined $50. Use that $50 for a nice case of beer for the neighbors.
Hope this helps!
posted by jay.eye.elle.elle. at 7:29 AM on August 17, 2011 [1 favorite]
5. Are there fire escapes? Fire extinguishers? Are all the fire alarms and carbon monoxide detectors in working order? (A student rental went up in smoke about a year ago...)
Oh, yeah, this. For the lack of a better word, students don't know how to smoke safely. Things as simple as "I should put out this cigarette before taking a nap" may not naturally occur, especially when drenched in the excesses of college life. Having more fire extinguishers and alarms than one would think would be necessary has never done harm to anyone.
(Re-filling the extinguishers and, obviously, fire damage should also come out of the security deposit.)
posted by griphus at 7:30 AM on August 17, 2011 [1 favorite]
Oh, yeah, this. For the lack of a better word, students don't know how to smoke safely. Things as simple as "I should put out this cigarette before taking a nap" may not naturally occur, especially when drenched in the excesses of college life. Having more fire extinguishers and alarms than one would think would be necessary has never done harm to anyone.
(Re-filling the extinguishers and, obviously, fire damage should also come out of the security deposit.)
posted by griphus at 7:30 AM on August 17, 2011 [1 favorite]
thomas j wise brings up a good point: charging by the semester.
Since I went to college in a city, there was effectively no difference between a "student" rental and a "grown up" rental, which meant that when you signed a lease you were in it for the entire year. This works fine in theory, but in reality kids study abroad and go home for the summer. It would be really nice and accommodating if your sister set up the lease either to run on quarters (or whatever time system makes sense for the school) or have a really well-defined policy on sub-letting.
posted by phunniemee at 7:30 AM on August 17, 2011
Since I went to college in a city, there was effectively no difference between a "student" rental and a "grown up" rental, which meant that when you signed a lease you were in it for the entire year. This works fine in theory, but in reality kids study abroad and go home for the summer. It would be really nice and accommodating if your sister set up the lease either to run on quarters (or whatever time system makes sense for the school) or have a really well-defined policy on sub-letting.
posted by phunniemee at 7:30 AM on August 17, 2011
I wanted to mention snow removal and yard care as well - our city has rules about timeframe for snow removal or else the house gets ticketed. As a general rule, students aren't going to be responsible for that on a timely basis. Same goes for height of grass.
And even when renting individual rooms or whole house, you should discuss if individual bedrooms will have locks on the doors. Our first apartment was a former student house and every single room had a lock & key.
posted by librarianamy at 7:32 AM on August 17, 2011
And even when renting individual rooms or whole house, you should discuss if individual bedrooms will have locks on the doors. Our first apartment was a former student house and every single room had a lock & key.
posted by librarianamy at 7:32 AM on August 17, 2011
It's standard advice to recommend Leigh Robinson's Landlording, and for good reason. It's a great resource for newbie landlords.
posted by griseus at 7:39 AM on August 17, 2011 [1 favorite]
posted by griseus at 7:39 AM on August 17, 2011 [1 favorite]
This isn't specific to a rental relationship with students, but speaking as a long-term apartment dweller, in my mind the number one thing your sister and brother-in-law should do is familiarize themselves, chapter and verse, with every aspect of the state and local statutes that govern these relationships.
I feel like a lot of landlords have no knowledge of the law, take every interaction personally, and the whole thing turns to shit very fast. As other posters mention, this is a for-profit business venture. Nothing about it should be personal. There's no reason to be anything less than cheerful and kind at all times (of course!), but first and foremost this a contractual business relationship.
The state (and probably locality) have laws that govern this relationship, and the great thing about those laws it they provide a very simple framework for going about all the hard stuff - collecting rent, returning security deposits, withholding for repairs, etc, without having to factor much personal stuff into the equation.
The law probably specifies how notice should be give for move out, how notice should be given to inspect the unit for damages, etc.
By remembering this is just business, and sticking to the letter of the law, it's so much easier for everybody, and nobody winds up in court.
posted by colin_l at 7:44 AM on August 17, 2011 [3 favorites]
I feel like a lot of landlords have no knowledge of the law, take every interaction personally, and the whole thing turns to shit very fast. As other posters mention, this is a for-profit business venture. Nothing about it should be personal. There's no reason to be anything less than cheerful and kind at all times (of course!), but first and foremost this a contractual business relationship.
The state (and probably locality) have laws that govern this relationship, and the great thing about those laws it they provide a very simple framework for going about all the hard stuff - collecting rent, returning security deposits, withholding for repairs, etc, without having to factor much personal stuff into the equation.
The law probably specifies how notice should be give for move out, how notice should be given to inspect the unit for damages, etc.
By remembering this is just business, and sticking to the letter of the law, it's so much easier for everybody, and nobody winds up in court.
posted by colin_l at 7:44 AM on August 17, 2011 [3 favorites]
Seriously, being a landlord is not running a B&B or a summer camp. It's squeezing every last penny out of a tenant.
Yeah, that attitude is why most landlords are assholes and houses end up a mess. Treat your tenants with respect, stay on top of maintaining the place and I more or less guarantee your house will be in a better state at the end of the tenancy than if they know you are squeezing every last penny out of them and don't give a shit.
posted by pmcp at 7:49 AM on August 17, 2011 [15 favorites]
Yeah, that attitude is why most landlords are assholes and houses end up a mess. Treat your tenants with respect, stay on top of maintaining the place and I more or less guarantee your house will be in a better state at the end of the tenancy than if they know you are squeezing every last penny out of them and don't give a shit.
posted by pmcp at 7:49 AM on August 17, 2011 [15 favorites]
A whole-house lease where everyone is responsible for the rent is going to be the least headache from a landlord's point of view. You want to deal with the tenants as a single entity, not individually. This also makes people choose their housemates more carefully. The only reason not to do this would be if the house has so many bedrooms that it's hard to find a single group to rent it.
Bedroom locks: In my area, landlords are legally obligated to install locks on bedroom doors if requested. For student housing, you might want to go ahead and just do this from the start.
Professionalism: Make sure every tenant gets a signed copy of the lease and a copy of their local tenants' rights.
Subletting: Explicitly specify that landlord approval is required for sublet tenants, but otherwise be open-minded about subletting and don't make it difficult. This keeps the landlord in the loop. (My mother rents out a duplex; she found out one day that her tenants had been subletting the place for a year to some guy from craigslist.)
Year or semester lease: With a semester lease, you're going to lose income in the summer. I live in a small college town and all leases are year-long for this exact reason.
posted by qxntpqbbbqxl at 7:52 AM on August 17, 2011
Bedroom locks: In my area, landlords are legally obligated to install locks on bedroom doors if requested. For student housing, you might want to go ahead and just do this from the start.
Professionalism: Make sure every tenant gets a signed copy of the lease and a copy of their local tenants' rights.
Subletting: Explicitly specify that landlord approval is required for sublet tenants, but otherwise be open-minded about subletting and don't make it difficult. This keeps the landlord in the loop. (My mother rents out a duplex; she found out one day that her tenants had been subletting the place for a year to some guy from craigslist.)
Year or semester lease: With a semester lease, you're going to lose income in the summer. I live in a small college town and all leases are year-long for this exact reason.
posted by qxntpqbbbqxl at 7:52 AM on August 17, 2011
5. Are there fire escapes? Fire extinguishers? Are all the fire alarms and carbon monoxide detectors in working order? (A student rental went up in smoke about a year ago...)
My understanding is that a semi-regular fire inspection will be required. I imagine there will be several housing inspections before the unit is actually rental-ready (this could all be in my head though).
I have never heard of a landlord that doesn't pay for garbage pickup, because you want to encourage your tenants to actually throw stuff out rather than letting it fester on the curb.
posted by Think_Long at 7:57 AM on August 17, 2011
My understanding is that a semi-regular fire inspection will be required. I imagine there will be several housing inspections before the unit is actually rental-ready (this could all be in my head though).
I have never heard of a landlord that doesn't pay for garbage pickup, because you want to encourage your tenants to actually throw stuff out rather than letting it fester on the curb.
posted by Think_Long at 7:57 AM on August 17, 2011
I just wanted to pop in and say that students aren't universally desctructive, unconscientious or wild. I do understand that many people are frustrated by living in close proximity to loud, partying students who trash their properties and seem to have no sense of responsibility. THOSE are the students you notice and label as "students". Most people don't notice those of us that are quiet, responsible, and likely to spend days patching every single tiny tack-hole in the walls, cleaning dust out of window fittings and scrubbing the inside of the oven before moving out.
Those of us that are capable of being responsible, mature tenants do exist, and you can find them if you look. We do pretty well being treated as regular adults.
posted by Cygnet at 8:19 AM on August 17, 2011 [4 favorites]
Those of us that are capable of being responsible, mature tenants do exist, and you can find them if you look. We do pretty well being treated as regular adults.
posted by Cygnet at 8:19 AM on August 17, 2011 [4 favorites]
Yeah, that attitude is why most landlords are assholes and houses end up a mess.
I think in this case, the OP needs a more realistic perspective about how to run a rental, so Admiral Haddock's extreme perspective is a necessary one.
Students are capable of providing themselves with necessities and/or doing without. They don't need the landlords to provide a couch or a kitchen table. The tenants can find one themselves and work out between each other how to pay for it and who's responsible for replacing it when they're destroyed.
But I would say that the best thing is always to be flexible in terms of changing the names on the lease when there's turnover. It's best for everyone involved: the students have to move out at unpredictable times, so they need to be able to get off the lease, and the landlords need to make sure that all the tenants living there are legally responsible for the rent, so when one person moves out and a new person moves in, change up the names on the lease.
Generally, it's expected that the landlord pays for water/sewer/garbage and the tenants pay for electricity,heat, phone, and tv/internet. That said, jay has this right about internet/cable hookups-- if the landlords don't install them in each room, trust me, the students will do it on their own, and they will probably do not as good as a job. This is the flip side of Admiral Haddock's advice: yes, it will cost more to install certain infrastructure amenities for the house, but it will pay off in the long term, since less maintenance will be required.
posted by deanc at 8:22 AM on August 17, 2011
I think in this case, the OP needs a more realistic perspective about how to run a rental, so Admiral Haddock's extreme perspective is a necessary one.
Students are capable of providing themselves with necessities and/or doing without. They don't need the landlords to provide a couch or a kitchen table. The tenants can find one themselves and work out between each other how to pay for it and who's responsible for replacing it when they're destroyed.
But I would say that the best thing is always to be flexible in terms of changing the names on the lease when there's turnover. It's best for everyone involved: the students have to move out at unpredictable times, so they need to be able to get off the lease, and the landlords need to make sure that all the tenants living there are legally responsible for the rent, so when one person moves out and a new person moves in, change up the names on the lease.
Generally, it's expected that the landlord pays for water/sewer/garbage and the tenants pay for electricity,heat, phone, and tv/internet. That said, jay has this right about internet/cable hookups-- if the landlords don't install them in each room, trust me, the students will do it on their own, and they will probably do not as good as a job. This is the flip side of Admiral Haddock's advice: yes, it will cost more to install certain infrastructure amenities for the house, but it will pay off in the long term, since less maintenance will be required.
posted by deanc at 8:22 AM on August 17, 2011
Contact information. I have had landlords who were new to land-lording leave for vacation without telling us. When the pipe burst in the apartment above and water started coming through our ceiling, there was no one to call. Have service numbers and accounts with plumbers, electricians, etc. lined up. Have a set of scenarios outlined, possibly laminated and mounted behind plexiglass in the kitchen, or at least in a tenant guide. Plumbing emergency? Call me. Here is cell, home, work. If no answer and a real emergency (active flooding, for example) and no call back within 15 minutes (or something) call this plumber, mention account # 123456. Then the plumber can just invoice the landlord for the repairs. Speaking of repairs, have them done by someone who knows what they heck they are doing (Licensed, etc), not your cousin who does plumbing on the side. Keep this information updated.
When you go on vacation (or will be out of contact), send an email to all tenants, and swing by the house and put a note on the door with alternate contact information. You want to make it possible for the tenant to get ahold of a human who knows what to do very quickly in the case of an emergency.
Give the local emergency numbers, if 911 isn't the best option. (For example, in California, all cell 911 calls are routed to the Highway Patrol. Dialing the local emergency number can decrease response time by several minutes). Utility emergency numbers are good too, for tree falls, etc that kill power.
Show the tenants where the gas, water, and electricity shut-offs are, or at least put it in the tenant guide. Provide the tools necessary to shut them off, possibly chained to the appropriate locations. Old houses have old plumbing and old electricity. Bad things can happen. Being able to turn off utilities can be a very good thing.
If you have hardwood floors, a nice touch that we experienced most recently was to have the landlord provide a giant multi-pack of felt pads. It made it easy to put pads on all of our furniture, and we did it right away. Use of felt pads on furniture is actually specified in the lease.
Put everything in the tenant guide somewhere on the web, or at least email it. Paper gets lost, but if it is in email or on a website, it is easily searched for.
Encourage renter's insurance (emphasize how your insurance does not cover their stuff), and provide the number of a local agent or two.
If you really want to be nice, upgrade the electricity. Even if it means wall-conduit and non-flush mounted plugs, having enough outlets to plug stuff in is really fantastic, and safer for all.
posted by rockindata at 8:32 AM on August 17, 2011 [4 favorites]
When you go on vacation (or will be out of contact), send an email to all tenants, and swing by the house and put a note on the door with alternate contact information. You want to make it possible for the tenant to get ahold of a human who knows what to do very quickly in the case of an emergency.
Give the local emergency numbers, if 911 isn't the best option. (For example, in California, all cell 911 calls are routed to the Highway Patrol. Dialing the local emergency number can decrease response time by several minutes). Utility emergency numbers are good too, for tree falls, etc that kill power.
Show the tenants where the gas, water, and electricity shut-offs are, or at least put it in the tenant guide. Provide the tools necessary to shut them off, possibly chained to the appropriate locations. Old houses have old plumbing and old electricity. Bad things can happen. Being able to turn off utilities can be a very good thing.
If you have hardwood floors, a nice touch that we experienced most recently was to have the landlord provide a giant multi-pack of felt pads. It made it easy to put pads on all of our furniture, and we did it right away. Use of felt pads on furniture is actually specified in the lease.
Put everything in the tenant guide somewhere on the web, or at least email it. Paper gets lost, but if it is in email or on a website, it is easily searched for.
Encourage renter's insurance (emphasize how your insurance does not cover their stuff), and provide the number of a local agent or two.
If you really want to be nice, upgrade the electricity. Even if it means wall-conduit and non-flush mounted plugs, having enough outlets to plug stuff in is really fantastic, and safer for all.
posted by rockindata at 8:32 AM on August 17, 2011 [4 favorites]
To be clear, my comment above was not suggesting that the OP's sister should aspire to becoming a slumlord. But, as the saying goes, the business of business is business. You're not a tenant's pal, your their landlord--it's their home, it's your business. You don't need to coddle tenants, though (obviously, within reason) their "satisfaction" is proportional to the ease with which you collect rent.
Make sure your sister educates herself her obligations under law and under her lease. Understand what costs are going to be capitalized and what costs are deductible--i.e., keep in mind that putting in new carpet, or a lock or whatever, is not deductible--you'll capitalize the outlay and depreciate it over the proper depreciation period. So, if she, say, overhauls the kitchen to make it look nice, or has a handyman re-hang a door because the hinges were super squeaky (or whatever), that money will typically be recouped over a period of years (likely decades).
I think one of the traps people fall into with rental property is that they want to make it somewhere they themselves would like to live (and then take it personally when and if tenants crap it up, change it, break it, etc.).
I rent my own apartment. I have always rented. I grew up in a rental. I expect I will always rent--I like the freedom of being able to move at the end of the lease term. I've had good landlords and bad ones. I've never thought any of them were "nice," and I didn't expect them to be--I just want them to send someone when the toilet breaks.
posted by Admiral Haddock at 9:01 AM on August 17, 2011 [3 favorites]
Make sure your sister educates herself her obligations under law and under her lease. Understand what costs are going to be capitalized and what costs are deductible--i.e., keep in mind that putting in new carpet, or a lock or whatever, is not deductible--you'll capitalize the outlay and depreciate it over the proper depreciation period. So, if she, say, overhauls the kitchen to make it look nice, or has a handyman re-hang a door because the hinges were super squeaky (or whatever), that money will typically be recouped over a period of years (likely decades).
I think one of the traps people fall into with rental property is that they want to make it somewhere they themselves would like to live (and then take it personally when and if tenants crap it up, change it, break it, etc.).
I rent my own apartment. I have always rented. I grew up in a rental. I expect I will always rent--I like the freedom of being able to move at the end of the lease term. I've had good landlords and bad ones. I've never thought any of them were "nice," and I didn't expect them to be--I just want them to send someone when the toilet breaks.
posted by Admiral Haddock at 9:01 AM on August 17, 2011 [3 favorites]
(Edit: there's a "your" that, of course should be a "you're"--but more importantly, I omitted the conclusion of the second paragraph, which is that, because many of the costs are an immediate outlay that must be recouped over decades, you need to choose carefully what expenses are incurred. The key to going broke as a landlord is doing repairs and upgrades because it would be nice to do, and if you lived there, the ugly stove, or noisy boiler, or whatever, would bug you.
Again, I'm a lifelong renter, and while I'd love for my landlord to be a swell guy, it ain't gonna happen. I also know that if/when I have tenants, I ain't gonna be a swell guy either.)
posted by Admiral Haddock at 9:07 AM on August 17, 2011
Again, I'm a lifelong renter, and while I'd love for my landlord to be a swell guy, it ain't gonna happen. I also know that if/when I have tenants, I ain't gonna be a swell guy either.)
posted by Admiral Haddock at 9:07 AM on August 17, 2011
The problem with not providing furniture is.... none of the students I know HAVE furniture. I'm UK not American, so I may not know about the situation where you are, but we expected furniture. Just basic stuff, a sofa and a bed (and it was never nice stuff), because we didn't want to have to buy furniture and lug it around when we moved coz we hated our roommates or whatever.
Also, not all students are terrible tenants. We never broke anything, we kept the place clean and we never disturbed the neighbours. If you are prompt about repairs and the keep the house in good nick you'll encourage good tenants too.
posted by stillnocturnal at 9:10 AM on August 17, 2011 [1 favorite]
Also, not all students are terrible tenants. We never broke anything, we kept the place clean and we never disturbed the neighbours. If you are prompt about repairs and the keep the house in good nick you'll encourage good tenants too.
posted by stillnocturnal at 9:10 AM on August 17, 2011 [1 favorite]
Think very hard about amenities and what they do for the attractiveness of your property. Some big ones
1) Will the tenants correctly price this amenity? Will they understand paying more in rent for the utilities or incorrectly guess at what utilities would cost?
2) Selection bias: who wants these amenities and couldn't / wouldn't buy them a la cart? For example, people who want utilities are those who turn over all the time (and expect that they might have to do so) or whose cash flow is so miserable that they can't pay them. Do you want those tenants?
3) Incentives for maintenance. You can always try to deduct damage from a security deposit, but ex-post remedies are way less efficient than ex-ante ones. Things that the tenant owns they care for.
On the whole, would you rent this incentive a la cart to your tenants for what you think you can charge extra in rent for having them? Would they pay that? If not, reconsider.
posted by a robot made out of meat at 9:50 AM on August 17, 2011
1) Will the tenants correctly price this amenity? Will they understand paying more in rent for the utilities or incorrectly guess at what utilities would cost?
2) Selection bias: who wants these amenities and couldn't / wouldn't buy them a la cart? For example, people who want utilities are those who turn over all the time (and expect that they might have to do so) or whose cash flow is so miserable that they can't pay them. Do you want those tenants?
3) Incentives for maintenance. You can always try to deduct damage from a security deposit, but ex-post remedies are way less efficient than ex-ante ones. Things that the tenant owns they care for.
On the whole, would you rent this incentive a la cart to your tenants for what you think you can charge extra in rent for having them? Would they pay that? If not, reconsider.
posted by a robot made out of meat at 9:50 AM on August 17, 2011
Having done a stint as a landlord, I can recommend a few things.
First of all, make the first $50 (or whatever amount) of any repair bill the tenants' responsibility. Works kind of like a deductible and will encourage some level of care and prudence. This will help with tenants like mine who insisted on putting large pots of bulky food down the disposal and then calling me to get a plumber when the sink backs up ($89 service call each time, about twice a month). Also helps with folks who, ahem, "stress" the toilets and other drains, kids who like to flush stuff down for fun, etc.
Don't set out to be a jerk but don't, under any circumstances, be "nice." Be respectful and pleasant, but never let the relationship be more than professional, especially when it comes to rent and lease terms. If you let slip the due dates and boundaries just once it makes it harder both practically and legally to enforce them later. If the rent is due on the 3rd, have an eviction notice on the door by the 4th and be consistent every month. I've been on both sides of this and, believe me, when you're hard up for money, you pay the loudest creditor first. The nicest guy gets paid last if at all. Don't be that "nice" guy. Be at the top of their list each month. This is a lesson I learned bitterly. Not every tenant will test you this way, but enough will do it to make you regret ever being "nice." Unless you're doing this as a form of charity.
There are certain "amenities" that you really want to either provide or let them elect to provide themselves. Lawn care, pest extermination, and house cleaning might be amenities to include in the rent but then give them "discounts" for those amenities they wish to provide themselves. Be clear about minimum standards and accountability if they elect to, say, keep the lawn mowed themselves.
Be very clear on the lease about subletting and how long people can "crash" in the house without being on the lease. Set clear boundaries about parking (e.g. not on the lawn) and anything that will affect the "curb appeal" of your house.
Do not, by any means, let anyone move in without a background check and calling references personally. Check around with other landlords in the area for a good skip tracer and keep their number in your contacts.
Hate to sound negative, but by setting clear, no bullshit boundaries up front you have a better chance of having a profitable and even enjoyable experience.
Best of luck to you.
posted by cross_impact at 1:57 PM on August 17, 2011 [2 favorites]
First of all, make the first $50 (or whatever amount) of any repair bill the tenants' responsibility. Works kind of like a deductible and will encourage some level of care and prudence. This will help with tenants like mine who insisted on putting large pots of bulky food down the disposal and then calling me to get a plumber when the sink backs up ($89 service call each time, about twice a month). Also helps with folks who, ahem, "stress" the toilets and other drains, kids who like to flush stuff down for fun, etc.
Don't set out to be a jerk but don't, under any circumstances, be "nice." Be respectful and pleasant, but never let the relationship be more than professional, especially when it comes to rent and lease terms. If you let slip the due dates and boundaries just once it makes it harder both practically and legally to enforce them later. If the rent is due on the 3rd, have an eviction notice on the door by the 4th and be consistent every month. I've been on both sides of this and, believe me, when you're hard up for money, you pay the loudest creditor first. The nicest guy gets paid last if at all. Don't be that "nice" guy. Be at the top of their list each month. This is a lesson I learned bitterly. Not every tenant will test you this way, but enough will do it to make you regret ever being "nice." Unless you're doing this as a form of charity.
There are certain "amenities" that you really want to either provide or let them elect to provide themselves. Lawn care, pest extermination, and house cleaning might be amenities to include in the rent but then give them "discounts" for those amenities they wish to provide themselves. Be clear about minimum standards and accountability if they elect to, say, keep the lawn mowed themselves.
Be very clear on the lease about subletting and how long people can "crash" in the house without being on the lease. Set clear boundaries about parking (e.g. not on the lawn) and anything that will affect the "curb appeal" of your house.
Do not, by any means, let anyone move in without a background check and calling references personally. Check around with other landlords in the area for a good skip tracer and keep their number in your contacts.
Hate to sound negative, but by setting clear, no bullshit boundaries up front you have a better chance of having a profitable and even enjoyable experience.
Best of luck to you.
posted by cross_impact at 1:57 PM on August 17, 2011 [2 favorites]
It's already been mentioned, but in case you missed it, I want to underline the point about planning for snow removal. In some cities, the landowner can be fined if adjacent sidewalks are not cleared within a certain time frame after snowfall. You cannot rely on tenants to take care of this (even if they're responsible people, they may be out of town for winter break), and it's not a problem you want to put off solving until the next snowstorm hits. Contract with a lawn care type of operation that also does snow removal so you won't have to worry about it.
As for the driveway / parking spaces and walkway(s) to the door(s), the lease should specify whether snow removal from those areas are the responsibility of the landlord or of the tenants.
posted by Orinda at 7:06 PM on August 17, 2011
As for the driveway / parking spaces and walkway(s) to the door(s), the lease should specify whether snow removal from those areas are the responsibility of the landlord or of the tenants.
posted by Orinda at 7:06 PM on August 17, 2011
In my landlording experience, students/ young tenants are a pain because they don't know how things work. Accidentally turning off the emergency boiler switch, then calling for an emergency repair, complaining that the other apt. is using all their hot water, that they turned down to save money, when they have separate water heaters (3 tenants showering daily use a lot of hot water), not knowing what a plumber's helper is for, leaving garbage in dumb places, causing smell and mess.
Tenants love to paint, and younger tenants may have poor painting skills, and may choose exotic wall colors. Woodwork should always be white, for ease of touchups. Not Navaho white, not Linen white, white. If tenants want a dark red room, they should pay an extra deposit for painting. Allowing tenants to paint is nice and separates you from Mega-Rental-Corp.
Know where the water and gas shut off valves are. Have a list of emergency numbers - gas co., water co., electric company, and emergency professionals - plumber & electrician. Make this information available to tenants.
Finding good tenants. Our 1st tenants after the ones there when we bought it lasted 7 years. 3 roommates, and when 1 moved out, they'd get a new one. It was terrific - low turnover means less wear & tear and less hassle. I took a lot of time to interview tenants, and talk about expectations, i.e., what times of day noise was okay or not. I tried to be a good landlord, keeping the place in repair, allowing pets with extra deposit, etc. Bad tenants will make your life miserable. Contact legal aid in your area and find out about the rights of tenants; you need to know this.
Be very tough up front about prompt rent payment. No excuses, no explanations, the rent has to be paid on time. Charge a fee for late payment.
With bedbugs on the rise. I would not provide upholstered furniture or mattress/box spring. Maybe a table & chairs, kitchen basics (Goodwill).
Always do a walk-though with tenants and document any existing damage; it helps if you have to charge for damages.
Pets. Students will acquire them. Charge a pet deposit, and maybe even extra rent. Pets damage woodwork, bring in fleas, make noise, make lots of poop, and may cause liability problems. The nicest student will swear that their beloved dog is well-behaved, and Pooch will eat the windowsills, and tenant will not bother to clean the yard. Kitty will stick his butt over the edge of the litter box while peeing, and ruin a patch of flooring.
When I rented to nice, responsible students with good references, they were high maintenance, but fun, and basically pretty good tenants.
posted by theora55 at 9:27 PM on August 17, 2011
Tenants love to paint, and younger tenants may have poor painting skills, and may choose exotic wall colors. Woodwork should always be white, for ease of touchups. Not Navaho white, not Linen white, white. If tenants want a dark red room, they should pay an extra deposit for painting. Allowing tenants to paint is nice and separates you from Mega-Rental-Corp.
Know where the water and gas shut off valves are. Have a list of emergency numbers - gas co., water co., electric company, and emergency professionals - plumber & electrician. Make this information available to tenants.
Finding good tenants. Our 1st tenants after the ones there when we bought it lasted 7 years. 3 roommates, and when 1 moved out, they'd get a new one. It was terrific - low turnover means less wear & tear and less hassle. I took a lot of time to interview tenants, and talk about expectations, i.e., what times of day noise was okay or not. I tried to be a good landlord, keeping the place in repair, allowing pets with extra deposit, etc. Bad tenants will make your life miserable. Contact legal aid in your area and find out about the rights of tenants; you need to know this.
Be very tough up front about prompt rent payment. No excuses, no explanations, the rent has to be paid on time. Charge a fee for late payment.
With bedbugs on the rise. I would not provide upholstered furniture or mattress/box spring. Maybe a table & chairs, kitchen basics (Goodwill).
Always do a walk-though with tenants and document any existing damage; it helps if you have to charge for damages.
Pets. Students will acquire them. Charge a pet deposit, and maybe even extra rent. Pets damage woodwork, bring in fleas, make noise, make lots of poop, and may cause liability problems. The nicest student will swear that their beloved dog is well-behaved, and Pooch will eat the windowsills, and tenant will not bother to clean the yard. Kitty will stick his butt over the edge of the litter box while peeing, and ruin a patch of flooring.
When I rented to nice, responsible students with good references, they were high maintenance, but fun, and basically pretty good tenants.
posted by theora55 at 9:27 PM on August 17, 2011
Do you have any tips regarding furniture must haves, legal research they should do, avoiding risks, hacks in general?
Go to the library, and get some Nolo Press books on landlord legal advice, and look for any other publications the library might have. For example, there's a state program that publishes legal advice booklets for both tenants and landlords. The Nolo stuff usually even comes with sample contracts and other documents you'd want to create while renting a room out.
Of course, you should really run the contract though a lawyer who knows the regional laws better than a book will. You really don't want to find out that your contract left injury liability or something in your hands when the insurance companies come knocking, because you wrote it wrong.
posted by pwnguin at 6:36 AM on August 18, 2011
Go to the library, and get some Nolo Press books on landlord legal advice, and look for any other publications the library might have. For example, there's a state program that publishes legal advice booklets for both tenants and landlords. The Nolo stuff usually even comes with sample contracts and other documents you'd want to create while renting a room out.
Of course, you should really run the contract though a lawyer who knows the regional laws better than a book will. You really don't want to find out that your contract left injury liability or something in your hands when the insurance companies come knocking, because you wrote it wrong.
posted by pwnguin at 6:36 AM on August 18, 2011
Seriously, rent to graduate or professional students only. A lot of other pertinent points have been posted already about amenities and lease issues.
posted by jadepearl at 1:53 PM on August 18, 2011
posted by jadepearl at 1:53 PM on August 18, 2011
For the lack of a better word, students don't know how to smoke safely.
Or, in my experience, how to combine candlelight and falling asleep drunk in front of the TV. The dudes upstairs from me burnt out their flat doing just that; it was a strange experience standing out in the street at 3am watching the flames blow out the windows and wondering how long it'd take to burn down through to our level.
posted by We had a deal, Kyle at 10:56 AM on August 20, 2011
Or, in my experience, how to combine candlelight and falling asleep drunk in front of the TV. The dudes upstairs from me burnt out their flat doing just that; it was a strange experience standing out in the street at 3am watching the flames blow out the windows and wondering how long it'd take to burn down through to our level.
posted by We had a deal, Kyle at 10:56 AM on August 20, 2011
I'm UK not American, so I may not know about the situation where you are
It's different. Furnished rentals are very common in the UK; unfurnished very common in the US.
posted by We had a deal, Kyle at 10:59 AM on August 20, 2011
It's different. Furnished rentals are very common in the UK; unfurnished very common in the US.
posted by We had a deal, Kyle at 10:59 AM on August 20, 2011
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posted by EndsOfInvention at 7:07 AM on August 17, 2011 [2 favorites]