Legal Issues for Self Managing Landlords

Self-managing landlords are up against a lot when it comes to properly managing their property, while trying to stay on top of consistent legal changes.

This year is no exception, with COVID-19 as the catalyst for many legal changes regarding property management. In January of 2020, California passed a new, statewide rent control law. Single family homes are exempt from the new law in most cases. The law states that to be considered exempt, you must disclose the change in law to your tenants. If you do not disclose the law to your tenants, which is required by law, you risk losing this exemption. Losing the exemption could be devastating to a property owner.

As a self-managing landlord, it is imperative to stay up-to-speed on the everchanging legislation that governs landlords and tenants. Ensuring that you are aware and on top of all legal changes will make it so that you do not unknowingly violate the law in any way. When a landlord violates law put in place to protect tenants, there can be a range of penalties, from fines that the landlord must pay, to jail time.

If a landlord does not stay current on new or changing laws, it is only a matter of time before they run into some issues with their tenants. Knowing what you must do to be compliant not only is best for your tenant, but also will protect you from any legal troubles down the road. To stay in the loop, we recommend looking at the Kimball Tirey and St. John website, where they are providing updates, and how to best follow them.

As a best practice, we always recommend that landlords include legal counsel in their rental budget. This will allow some money to be used towards taking preventative steps, and keeping yourself safe and educated on how to best manage your property.

As a way to protect yourself, we always encourage landlords to complete a very thorough walk-through prior to a tenant moving in. At Rincon Property Management, we make a point to complete a detailed move-in inspection so that the unit’s condition is properly documented, and the use of a damage deposit after move out is validated through both written and photographic proof.

Another way to stay on top of new legal changes is to sign up for our blog. Although these posts should not be taken as legal advice, we do notify and provide information for any changes that could impact your property.