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4 Rent Control Tips

Please refer to online websites to see if your building falls under rent control.

What is rent control? Rent control is an ordinance that limits or prohibits rent increases and notices to vacate tenancy. Be careful on what city your investment property is in because each community has different ordinances.

Tips for Rent Control Buildings:

  1. Security Deposit: You have three weeks after the unit has been vacated to either (a. return the security deposit, b. provide a copy of an itemized statement providing the amounts of the security deposit used for any repairs). As of January 2003 it is required that the property owner (or agent of owner) perform a walk through with the tenant no earlier than two weeks prior to termination, so that the tenant has time to perform any repairs needed.
  2. Rent Increases: If your building falls under rent control you are not allowed to increase the rent by more than 5% once a year. If you are going to increase the rent every year, you must provide the tenant a 30-day notice prior to the start of the increase.
  3. Tenant Relocation: If your building does not fall under rent control you normally have to give a 60-day notice to the tenant stating that they must vacate the unit. Under rent control you must have just cause to ask a tenant to vacate the unit. There are 12 legal reasons for this and the two most important are non payment of rent and performing illegal actions in the unit. It is best to play it safe and not ask someone to vacate unless these two situations happen.
  4. Entering Units: You must give, at a minimum, 24-hour notice if you are going to enter an occupied unit. There are only five reasons to enter a rental unit and it is advised to never enter a rental unit unless you have one of these five reasons.

a. Emergencies

b. The unit is vacant

c. Agreed upon repairs, improvements, or alterations

d. To show the rental unit to prospective buyers, lenders, contractors, or workers

e. If a court order permits it

Belwood Properties is always here to help and answer any questions that you or your clients might have. Do not get stuck in a lawsuit because you did not know the very complex laws regarding rent control. There is a lot more to know about rent control which is why we are always available for council.

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