what you have learned to include in your lease

Question

Hi,

I would like to get everyone's thoughts if you care to share them about what experience has taught you to include in your lease. I mean beyond the standard lease that I am sure is similar in most cases for a small multi-unit apartment building. I will share mine first. That I need to be specific about the trash clause. That absolutely no litter/rubbish cans, glass, paper items may be left outside the unit or anywhere at the exterior of the building including balconies, stairways, outside seating areas, doorways. They must be disposed of in a receptacle. It is amazing what people will just toss on the ground and walk away from. Even with the most detailed cautious lease it seems that 'your/my' specific situation will bring up an issue that was not specific enough in the lease.

Would love to know others experiences and what you will not leave out of your lease now due to an experience that taught you the lesson.

Thanks!

Peter Giardini · Answer

OK...
          
          Here is the background.  
          
          Picture yourself in front of a judge defending why the tenant did not deserve her security deposit back.... and being told by the judge that it looked like we forged the documents... essentially calling my wife, Vicky, a liar.  
          
          We lost and Vicky was completely devestated... and that actually became a good thing because her motto after that was... "a tenant will never get one over on me again... EVER"
          
          Here are the mechanics of the system Vicky put into place.
          
          Upon move-in the tenant is given a three-carboned property inspection check-in sheet.  This is their opportunity to note things that could be come issues upon move-out.  Things like a small stain on the kitchen floor or nic in the counter top.  Sometimes tenants also find things that you as the landlord need to address.
          
          This move-in inspection is in their words/handwritting and when completed they get the original.  The other two copies go into the tenants folder.
          
          Now you have a baseline in the tenants words of the condition of the property... and yes we take pictures of the tenant as they are inspecting the property.
          
          The safe and clean inspections are intended as a mechinism for you to routinely (90 to 120 days) to inspect to ensure there are no issues with the tenant or with things you need to fix.  They are announced via a standard letter to the tenant which spells out what we were looking for and what they should be preparing for.  
          
          You conduct this inspection.  While it is nice to have the tenant there it is not required.  
          
          Again, three-carbons.  The original and a copy stays in the tenant's folder and a copy is left for the tenant.
          
          If there are issues then another inspection is scheduled... usually within 2 weeks.
          
          The move-out inspection is just the opposite of the move-in.  
          
          You conduct the inspection as part of the check-out.  Make sure to have the move-in inspection with you.  
          
          You note any issues that you find with the property.  Things like a broken screen or bugs, or dirty appliances.  I am being nice here... I have moved some tenants out of some pretty trashed places.
          
          Anyway... the move-out inspection is your record of how you found the condition of the property.  We request that the tenant sign the document acknowledging the items found.  In many cases the tenants would not... but it didn't matter... we always won.
          
          And of course we took photos of the items we were noting on the move-out inspection.
          
          Since Vicky implemented this approach our reconciliation of security deposits was almost never questioned and the few times we found ourselves in front of a judge it was a slam dunk on our part.
          
          It's all about having the right paperwork and using it!
          
          I hope this explains the process further.

Barry O. · Answer

Car(s) will be parked in the garage or drive way  by a properly titled and licensed vehicles only. Parking on the grass is a violation of the lease and will be cause for eviction. Storage of non-operational vehicles will be offsite.
Military clause if member gets orders for greater than 179 days. They can break the lease at no cost to them. Providing all other conditions of the lease have been met, With 30 days notice!
10 dollar rent discount for direct deposit. I raise the rent to cover this discount.

Benolyn Craig · Answer

In mylease, I have them write down eveyone who will be living at the property even if they are not signing the lease.  This has given me other sources to track down past due money.

Nick J. · Answer

Peter, can you touch on that a little more? I think besides myself, others would like to see that.

Peter Giardini · Answer

No repairs.

Access to premises with 24 hours notice

Allocation of payments in this order... Late fees, fines/citations, water/sewer, and finally rent.

As an aside but related... we implemented a rigorous move-in, safe and clean, and move-out inspection system that protected us 100% when standing before a judge.

Michael Rogers · Answer

Here are three key points I spell out in my leases:
            
            1.)  Rent is due on the 1st of the month.  After that it is late.  I give a grace period to the 5th at 5:00 pm.  If they come in at 6:00 pm on the 5th and say they are only 1 hour late, I explain that they are 5 days late not 1 hour late.  I have a $50 late fee.  I'm fortunate to have good tenants, and I rarely need to charge a late fee.
            
            2.)  No pets.
            
            3. )  Must give me a 30 day move-out notice, so that I can begin advertising for future tenants.
            
            These are three big ones that I put in the lease and emphasize verbally when signing a lease.  I also agree with you on the trash one as well.

Mak K. · Answer

Does anybody else uses this terms:

" Increase in rent clause (if your local law allows) saying something to the effect of: "Rent can be increased at any time for any reason at the discretion of management by written notice prior to the next due date."

Is the above common in the

Kimberly H. · Answer

@Peter Giardini If you wouldn't mind sharing, why did the judge think that the documents in the lost case were forged?

Lauren H. · Answer

All of the above are great.

In addition: if no one is present at the home, owner/landlord can enter during reasonable business hours for all kinds of reasons including "inspection" (which could mean anything) as long as notification in writing is left inside the unit at the time of entry. We recently exercised this right due to smelling smoke next door coming from a "non smoking" apartment and were able to make a substantial increase in rent due to evidence found of smoking in the unit.

For damage caused by the tenant through will or neglect, not only make the tenant pay for replacement costs, but an hourly rate for repairs as well. If you hire out a handyman, they pay the full bill, but charging an hourly rate covers your time for small things that you can repair yourself.

Lease for a fixed term- NO clause for automatic renewal. This means if they stop paying at the end of the term and don't want to leave eviction is much easier.

Rent to be paid by local bank deposit- no chasing tenants for money, no carrying cash, no trips to the bank, tenant always gets a receipt.

This is my favorite- Increase in rent clause (if your local law allows) saying something to the effect of: "Rent can be increased at any time for any reason at the discretion of management by written notice prior to the next due date."

Keep the good ideas coming!

Mike Henderson · Answer

Really great responses.  I copied some of them to add to my lease.

what you have learned to include in your lease

Most Popular Reply