All Forum Posts by: James Gaither

@Tom Harkins there are a few deposit accounts out there that offer comparable rates, but I wouldn’t spend too much time looking for the best one. Many of my clients end up just paying interest differences out of pocket and deposit where it is convenient for them regardless of the interest rate. Get the best rate you can, but it’s far more important that you keep it separate, include all the necessary 8-203 info in your lease, and properly account for it at the end of the tenancy.

The DHCD calculator (it that’s what you’re looking at) is great for deposits received after 1/1/2015-and a landlord is permitted to rely upon it per the MD RP Article.

@Wil Pace - my firm has had these conversations with clients as well-we normally file thousands of these suits each month. The courts are indeed closed, but many still accept paper filings and e-filings. The debate we have had concerning Failure to Pay Rent suits is whether filing now will get you some sort of priority once courts do open. Our conclusion, although mixed, is that there is no real cognizable benefit in doing so now. One of the reasons, as you hint to, is that tenants (especially after receiving stimulus checks) could pay by the time courts reopen, rendering the filing moot. With so many changes happening, and many more likely on the horizon, it makes most sense to hold at this point and try to work through it.

Whatever concessions you do end up making, make sure that you do so in writing. This is particularly true when dealing with the application of the security deposit, which has/could have other implications. Also, there always needs to be some level of consideration in any agreement, so not a bad idea to incorporate a general release in the agreement as well. Otherwise, keep your ledger accurate and regularly updated.

@John Morris if you can get the judgment on affidavit, it can be quite reasonable. Even better if you have a legal fee shifting provision in your lease. Getting the judgment isn’t usually the issue, it’s collecting on the judgment that might be difficult. Under $5k is small claims territory but a review of your documents might reveal additional charges that you could include. Every case is a little different, but I do have clients that will retain me to prepare the docs and get the judgment even for smaller amounts.

@Mike A. as an Maryland/DC attorney who practices in this area, I have to ask what you are looking to accomplish by sending a letter. There are a plethora of issues that you could possibly be confronted with and so it is important to know your goals and not subject yourself to punishment for doing good deeds. Depending on your jurisdiction, there could also be issues with FHA discrimination and things like that. If your jurisdiction considers source of income a protected class, it could be problematic if and how you treat tenants differently based upon their source of income. (@Vinny Maida - be careful with this...).

@Matt C. definitely keep pressing the sellers to get this done, and follow up with repairs to confirm that (a) they were completed and (b) they were sufficient to address all issues and completed properly using the applicable industry standard. I have a case now that started as that exact issue, sellers had a slimy contractor "make repairs" that amounted to a couple hundred bucks of cover-up, certified that all was well and then a year later the roof caved in. Contractors told my client that the building was close to being condemned-apparently those row homes all support each other and a true collapse can pull down the homes on each side.

Diligence on your part will go a long way. I can throw you a recommendation on a contractor as well if needed.

@Benjamin Seibert you could probably do this yourself, but if your goal is to do your best to avoid/lessen liability, your best option will always be to seek legal counsel. Something like this would not necessarily require an in-person meeting with an attorney and typically isn't that difficult to handle. Worth the extra effort in my honest opinion.

@Travis L. be very careful with how you craft/alter your lease agreement. As you may know, Baltimore City has very specific lease requirements and landlord obligations that are different from those set forth in the Maryland Real Property Article. Courts will not look favorably on a landlord who drafts/modifies a lease agreement in the landlord's favor if it is adverse to the law, particularly if the provision/information you modify is required by law to be included (word-for-word) in the lease. I personally see this type of situation way more than I'd like to admit.

@Bjorn Ahlblad nailed it. The reason this lease may appear tenant-friendly might simply be because Baltimore City tends to be a very tenant-friendly jurisdiction. The law, both state and city, require that certain provisions and information must be included in a lease. Failure to include certain provisions and information, or changing the way it reads, could lead to devastating results. Your lease agreement will not trump the law and worse, if in violation of certain statutes, could trigger penalty provisions which would include a reasonable attorney's fee award for the tenant.

You are smart to look to a realtor for a lease agreement, but it may be worth spending the extra money to have an experienced landlord attorney review and revise the lease agreement. @Tim Jacob couldn't be more correct...jury awards against landlords are rarely pleasant (think-who hasn't rented property from a bad landlord at least once? Those same people will be on your jury).

Realtors are generally not lawyers...they cannot provide you with legal advice and there is a ton of bad advice out there. Spending money on something like a lease agreement may seem unnecessary, but whatever you spend will be far cheaper than having to hire an attorney should a problem arise. If there is one area where you should spend time/money, investing in a solid (and enforceable) lease agreement should be very high on your list.

As with any rental property in Maryland, it is important that you are aware of and follow the law applicable to your specific county. All tenants, regardless of their source of income, should be treated equally otherwise you could expose yourself to potential FHA violations. There are, however, some situations, such as terminating the tenancy at the end of the lease, that require special attention when a subsidized tenant is involved. It is a good idea to have an experienced landlord attorney available for advice before certain decisions are made. Spending a little money up front can save you a ton later if an issue becomes a problem.

Be careful with these, as stated above, each county is different. PG in particular. As to how much, 5% of the monthly rental amount (not what is due) is your cap.

Ned Carey is correct once again. It can get complicated depending on the language in your lease and the time frame you are working with. The worst part about holdovers is the waiting period if you fail to provide a timely, or sufficient notice. One mistake and you could lose 60 days. You can eventually get them out, but this is the time to put your ducks in a row. Once you do that, it will be a stroll in the park if you have to go to court. I would recommend consulting with an attorney if you are unsure.