All Forum Posts by: Freeman Schultz
Freeman Schultz has started 51 posts and replied 109 times.
Post: Questions about insurance claims and tenant liability
- East Coast
- Posts 109
- Votes 12
Originally posted by @Kim Meredith Hampton:
@Freeman Schultz I would file on the tenants insurance first, and then and only if they don't cover, then file on their own owner insurance policy. As always, if the damage is minimal, don't file on your insurance at all, pay the expenseyourself and then claim on the tenants security deposit.
Kim,
Thank you so much for the advice. Just out of curiosity, what would you consider minimal?
Post: Questions about insurance claims and tenant liability
- East Coast
- Posts 109
- Votes 12
I had a discussion with a colleague about a tenant who damaged their apartment. Tenant flooded a unit, which caused damage to the unit below. Insurance is called in. Does inspection and the estimate is higher than the deductible. The net payment is a little more than half the estimate.
My questions are the following:
Does the tenant forfeit their security deposit if the cost of repairs is higher than the net payment?
Does the landlord or insurance company file a claim with the tenant's insurance?
If the net amount that the insurance company is offering covers the costs of repairs, is there any point to go after
the security deposit or involve the tenant's insurance company?
Post: Tenants and their vehicles
- East Coast
- Posts 109
- Votes 12
Originally posted by @Nathan Gesner:
The lease is clear that they can't sublet or sublease. I also limit parking to vehicles belonging to residents. No boats, trailers, RVs, off-road vehicles, unlicensed/unregistered vehicles, project cars, etc.
Thank you for your response.
You make an excellent point regarding limitations and especially boats, trailers, RV's, off road vehicles and the others you mentioned. I never thought about those at all. That is definitely something to put in a lease.
Post: Tenants and their vehicles
- East Coast
- Posts 109
- Votes 12
Originally posted by @Account Closed:
Lease is very clear absolutely no subleasing of anything for any reason without express written consent. (which you will never get) There is not a lack of parking where I am, but if there was I would probably require license plates of what is supposed to be parked there. I also require that all vehicles be legally registered and operable so they can't just leave junk cars and other things around.
Thank you for the response.
In regards to requiring that all vehicles be legally registered and operable makes a lot of sense in addition to making it clear on the lease that no subleasing is allowed.
Post: Tenants and their vehicles
- East Coast
- Posts 109
- Votes 12
Originally posted by @Patti Robertson:
Why are you getting heartburn over this?
Thank you for responding to my question.
I am not getting heartburn over anything, I am just curious because I have seen
properties with garages and driveways and I have heard of tenants who let family and friends park their vehicles on
the property and I have also heard of tenants having a side business of subletting their driveways and garages.
I am wondering what landlords and property managers do to protect themselves from liability.
Post: Tenants and their vehicles
- East Coast
- Posts 109
- Votes 12
Originally posted by @Brandon Rush:
Hey Freeman,
My advice would be to be very specific in your lease. Make them identify their cars in the lease and only allow those cars to park on the property. Maybe allow for a guest to park (if space permits) for a specific period of time (ex. 1 or 2 nights). Good luck.
Thank you for your response.
Funny you mention that, every landlord and property manager that I have known has told me that the lease is what dictates everything.
Post: Tenants and their vehicles
- East Coast
- Posts 109
- Votes 12
For the landlords who have garages and driveways what measures do you put in place to protect yourselves from
tenant who try to sublease space or allow non-tenants to park in their spaces. Do you require them to provide proof of insurance
and registration?
Post: Changing rental application requirements
- East Coast
- Posts 109
- Votes 12
Originally posted by @Bjorn Ahlblad:
I am increasing my standards and rents. Looking for a pattern of positive actions have positive consequences. Eliminate the freeloader! Essential workers working largely from home. Local government workers, hospitals, schools etc. An empty unit is far easier to manage than one filled with a late or non paying tenant.
Thank you for replying to my post.
In regards to your focus on essential workers, that makes a lot of sense. It is another way to minimize risk.
Post: Changing rental application requirements
- East Coast
- Posts 109
- Votes 12
Originally posted by @Nathan Gesner:
No, I am not changing my requirements. They must still have a verifiable source of income that is generally 3x the rent. They must still provide references. I still don't rent to anyone on the sex offender registry or that has been evicted in the past five years.
What, specifically, is encouraging you to change your standards?
Thank you for responding to my post. Your requirements are the gold standard.
Just to clarify by what I meant by change is that I have been hearing is that landlords/property managers are
tightening their requirements.
Of course the credit report and background are always required, however I have heard some landlords are looking more closely at employment history, income and debt. They are also checking if the applicant is essential worker.
A year ago, good credit, employment history, income would be enough or at least a good start. But that has all changed now.
Post: Changing rental application requirements
- East Coast
- Posts 109
- Votes 12
Just out of curiosity, have any of you changed your requirements for new applicants?
I have heard that some landlords/property owners have been changing their requirements.
The general feeling is that they need to make changes to the application process to reflect the current uncertainty. They are taking a morelcloser look at the applicant's employment, salary and other finances.