Rental Application fees
Searching for a tenant takes time and effort to find the right people for your property.
First you must advertise your property and show it to prospective applicants. Prospects will submit an application and Landlords will need to check references, perform credit checks and determine if the applicant is suitable for the property. All of this work takes time, and some Landlords want to charge a fee for this time.
Part two section 15 of the Residential Tenancy Act in BC prohibits Landlords from requiring a deposit or charging a fee for accepting or processing the rental application, investigating an applicant's suitability or accepting the tenant. What this means is a Landlord is not entitled to be directly compensated for these efforts. Rent for the property will need to cover these anticipated costs for Landlords. I have seen some Landlords state the fee will be added to the rent or deposit when the tenancy is accepted, this is inappropriate and not in accordance with the Residential Tenancy Act.
Asking a potential tenant to provide an amount of money could deter quality tenants from applying because they are informed of the law. Landlords could find themselves in a Residential Tenancy Board hearing if an applicant submitted their application fee, then wasn’t selected to rent the unit.
Being a Landlord is equivalent to owning a business. If you owned a retail store, restaurant or other business and required potential employees pay a fee for submitting their application you would limit your choice significantly. Quality employees would look elsewhere and your business wouldn’t perform as you would expect. Requesting a fee for the application to rent would provide the same results, and tenancy that wasn’t what you expected.
Landlords should take the appropriate time to investigate thoroughly each applicant's suitability for renting their property, in a manner which is in accordance with the Residential Tenancy Act. Failure to adhere to Tenancy Laws in BC often creates issues between Landlords and Tenants.
Looking for Property Management you can find more information about us at: www.cartrefproperties.com
Bylaws what are they? And why do my tenants need to follow them?
What are Bylaws in a Strata Corporation and why do you need to adhere to them?
Each Strata Corporation is like a small government and the bylaws are the regulations or guidelines as to how residents of a building agree to operate the building. Every Strata Corporation begins with the Standard bylaws outlined in the Strata Property Act. Bylaws may only be amended by owners voting at General Meetings to amend or add bylaws.
All residents including owners, tenants and guests of residents are required to adhere to the bylaws. If an owner invites a guest to the property the owner is responsible for the actions of the guest while they are at the property. It is important owners, tenants and all residents read and understand the bylaws of their Strata Corporation. Strata Corporations have an obligation to enforce bylaws when complaints are submitted. If your actions are considered an infraction of the bylaws your Strata Corporation may be in a position to take action against you for violating the bylaws.
Division 3 of the Strata Property Act outlines the enforcement of the bylaws. Section 129 states the options a strata may take regarding bylaw enforcement. Under section 129 Strata Corporations have three options. They can impose a fine, remedy a contravention or restrict access to a recreation facility. How does this affect renting my property?
As the owner and landlord it is imperative you read and understand the bylaws of your Strata Corporation. Landlords have a responsibility to inform tenants (see what is a form K post) of the bylaws when they rent their strata lot. All residents including owners, tenants and guests are expected to adhere to the bylaws. Landlords have a responsibility to ensure tenants have the correct information required for compliance with the bylaws. Landlords also have an obligation to inform tenants when the bylaws are amended or new ones added.
Prior to taking actions of applying section 129 Strata Corporation must follow the requirements of section 135. We will explore this section more in a future post.
Many disputes in Strata Corporations arise over the interpretation, miss understanding or ignorance of bylaws. Take time to read and understand your bylaws, attend your general meetings and become informed about your Strata Corporation.
Looking for Property Management you can find more information about us at: www.cartrefproperties.com
Whose home is it?
Renting a property you own brings many emotions and feelings. My experience has seen many people who own a property they live in and then rent, struggle seeing other people reside at their property. Owners have asked me to instruct tenants how to decorate the property, don’t let them put too much furniture in the unit, tell them they are not allowed to hang pictures on walls, and how to clean the unit. All good intentions.
The definition of a home is “a house, apartment, or other shelter that is the usual residence or a person, family or household”. Landlord’s own the property, but when a tenant occupies a rental unit it becomes their “home”. Each person will arrange a home differently and tenants have the right to make the rental unit feel like home.
When Landlords allow emotions into managing their property it can lead to mistakes and errors which could violate tenants rights. When a tenant occupies the rental unit and it becomes their “home” they have rights a landlord must adhere to. It has been my experience that when both parties follow the law and respect each others rights Landlords and tenants have a successful tenancy.
As a Landlord it may be difficult viewing your property when other people live there. In this case it would be prudent to utilize a property manager eliminating emotions and feelings of managing your property.
Looking for Property Management you can find more information about us at: www.cartrefproperties.com
Stage one of a Tenancy
In a previous post I mentioned there were three stages of a tenancy. Stage one is the beginning of a tenancy. All three stages are important for different reasons. Stage one is where landlords have the greatest influence on creating a positive tenancy. Tenant placement is time consuming and should not be rushed. A Landlord’s goal in tenant placement, should be finding a renter who will respect the property and treat it like their home.
Searching for a tenant begins with advertising the property and this should be done in an accurate and effective manner. You want tenants to be able to view the property and say I want to live there. Landlords should always use the most current photos. Every time a tenant moves out it is good practice to update photos of the interior and exterior, as the unit may have changed since the last photos were taken.
Showing a property is an opportunity to “interview” potential tenants in many different ways. Selecting a quality tenant is more than checking if they can afford the rent and will pay on time. A showing gives Landlord’s a chance to see if they will respect you and your property. Nothing is perfect, but I have found the following helps me find quality tenants.
Do they show up on time to the scheduled showing?
If they were late did they contact you to advise they were going to be late?
How are they dressed and does that match their profession of work?
When entering do they take off their shoes or ask if you want them to take them off?
If you can see their vehicle is it clean inside and out?
These are some subtle actions that can show if a tenant will respect your property. If they show respect for your time and effort, their work, their own property and your property before entering I have found this often leads to a better tenancy. These are not the only things you should look for in stage one but they are a few small things that can make a big difference.
My tenants vacated my rental unit, what are my options?
When a tenant gives notice to vacate a property Landlords first reactions are to automatically search for a new tenant. Is this the only option for a landlord? If your rental property requires improvements often the best time to complete renovations is during an economic slowdown. During economic downturns vacancy rates increase, which often lowers rental rates as supply increases and demand decreases. Construction also slows down, increasing availability of contractors to perform work. When more contractors are available prices become more competitive for their services.
Upgrading your property in difficult times will help it stand out against other properties which may attract a better quality tenant. If your property is in need of a kitchen or bathroom renovation, new flooring or other property upgrades and your tenant has vacated this may be a good time to perform those improvements. The long term benefits may outweigh the short term return on rental income.
Looking for Property Management, you can find more information about us at: www.cartrefproperties.com