Many property owners end up becoming landlords unexpectedly through financial changes, relocation, or inheritance. Hiring a reputable property manager eases the burden by handling legal compliance, maintenance, rent collection, and tenant screening.
According to Statista.com, the United States has a growing rental market with about 45.5 million units in multi- and single-family houses being occupied by renters. As the demand for rental homes continues to increase, so does the number of landlords in the country.
Accidental landlords in Santa Barbara, CA, can transition into the new role with confidence by following essential tips.
What Is the Most Important Responsibility of a Landlord?
A property owner or landlord must comply with all local ordinances and state laws governing tenant rights, maintenance, and housing safety. Some of the most important responsibilities of a landlord include the following:
- Ensuring all utilities are in optimal working condition
- Observing the Fair Housing Act
- Maintaining the rental unit in a clean and habitable condition
- Complying with the safety codes
Furthermore, landlords should always respond promptly to tenants' claims and properly manage security deposits. Mission City property management company will help preserve your rental income and avoid legal issues.
How Can You Succeed as an Accidental Landlord?
Have you recently found yourself in a situation where you unexpectedly have a property to rent? The rental process of a property can be quite time-consuming and difficult, especially if you're not well prepared.
Below is some rental property guidance for accidental landlords in Santa Barbara, CA.
Figure Out Your Mortgage
The first thing you should do as an accidental landlord is discuss your options with a mortgage broker. Some residential mortgages may not allow you to rent your property, or may allow it only for a limited time. If the lender allows you to let, you can rent out your unit for up to 12 months as you continue paying the mortgage.
Otherwise, you can decide to convert your mortgage to a buy-to-let option. In this case, you'll need to discuss the new charges with your lender.
Carry Out Safety Checks on the Property
When dealing with renters, your property must be safe. For instance, you must install a carbon monoxide detector in all rooms used as living spaces, whether partially or fully, and in any room with a fuel-burning appliance, such as open fires, wood stoves, or gas boilers. Private-sector landlords should install smoke alarms on all floors of their buildings.
Other safety and habitability standards that you should adhere to in the Santa Barbara housing market include:
- Proper sanitation
- Safe electrical systems
- Secured locks
The law requires landlords to maintain the above basic standards throughout the tenancy.
Prepare Lease Agreements
Accidental landlords in Santa Barbara, CA, need to have a written lease agreement ready before renting their property. This agreement should outline the responsibilities and rights of both the landlord and the tenant. A property manager from Mission City Property Management will assist you in drafting the agreement to ensure it's clear and sound.
Ideally, the lease agreement should state the following:
- Policies for the use of the rental property use
- Policies about pets and smoking
- Maintenance and repair responsibilities
- Security deposit terms
- Rent due date and amount
- Occupancy limits
Perform Repairs and Upgrades
To attract high-quality renters and enhance your property's value, consider upgrades such as fresh paint, new flooring, energy-efficient improvements, and modern fixtures. Additionally, if any maintenance issues need fixing, ensure you address them before renting your house. These may include plumbing leaks, faulty wiring, or broken appliances.
Adhere to the New Limits for Security Deposits
Under California law, security deposits should equal one month's rent. Every tenant should pay a security deposit, which will be returned upon providing photo evidence of the house's condition.
Before a tenant moves into your rental property, conduct a thorough inspection of the unit with them and document its condition. Use notes, pictures, and videos to document the unit's condition, as you'll refer to them during the move-out inspection.
This measure protects both you and the tenant from disputes in the event of property damage.
Hire a Professional Property Manager
Even landlords who've been in the business for a long time sometimes struggle to manage their investments on their own. An expert property manager will help you protect your rental property, avoid expensive mistakes, and reduce daily stress.
Having a knowledgeable company run your investment for you allows you time to focus on other important things in your life. Property managers also provide landlord legal advice to ensure your property always complies with state laws.
Frequently Asked Questions
What Are the Pros of Renting Out Your Unit?
As an accidental landlord, you may be skeptical about renting out your property. However, here are some benefits you'll reap from being a property owner:
- You're assured of a steady rental income that'll cover your insurance, taxes, and mortgage and leave you with profit.
- The value of your property increases.
- Finding tenants who'll take good care of your property.
What Is Termed as Illegal for a Landlord in California?
It's against the law for landlords in California to discriminate against their tenants based on various factors. These include the following:
- Gender expression
- National origin
- Sexual orientation
- Marital status
- Source of income
What Are the Tenant Rights According to California Law?
Landlord-tenant laws offer strong protections to renters. For instance, there are limits on rent increases set by local and state rent control ordinances. If a landlord fails to maintain the property as agreed, the tenant has the right to break the lease, repair the issues, and deduct the costs from the rent, or to withhold rent.
If a renter decides to assert their legal rights, a landlord can't retaliate against them.
Navigate Renting With Confidence with Mission City Property Management
Accidental landlords in Santa Barbara, CA, don't have to worry about managing their property. With the right company, your rental property can turn into a long-term investment and a stable source of income.
At Mission City Property Management, we offer tailored guidance and prioritise beneficial relationships with seasoned property investors and accidental landlords. We help you retain and attract high-quality renters by thoroughly screening them.
Contact us today to reclaim your time and get peace of mind.
