You will need to take documented, formal enforcement of your lease terms and conditions.  A warning notice, oral or written, may be appropriate for a tenant’s first time violation of a lease term or condition that is not a material default of the lease or a potential threat to neighbors or property.

While a tenant whose previous behaviors have never been a problem may be responsive to an oral request by the landlord to remedy the situation, the tenant must understand and acknowledge that the request is a warning, not just a conversation. Now with a second complaint, your tenant must not have understood you actually gave him an oral warning that his conduct was in violation of the lease during your talk. You should formalize your oral warning with a written warning letter to the tenant regarding his violations.

Utilizing a written warning for every such problem, even if the first, may be a better business practice for notifying a tenant of a lease violation. The  written warning letter to the tenant should provide relevant specifics of the problem behavior, including date and time; the required corrective action by the tenant to remedy the problem; citation of the specific lease term or condition that has been violated; and the consequences if the tenant fails to take corrective action for compliance.

A warning letter can be effective in some problem situations but keep in mind that a warning letter is an informal writing and does not qualify as a formal termination notice. Tenants who choose to ignore a warning letter or refuse to comply with lease terms and conditions will need to be served with a formal notice for termination of tenancy.

Formal notice to terminate a tenancy can be served with a Notice to Cure or Quit. A Notice to Cure or Quit demands that the tenant comply with one or more terms of the lease agreement (Cure) and, if the tenant does not comply, to end his occupancy (Quit). Notices to Cure or Quit are typically given after a violation of a term or condition of the lease agreement, such as nuisance, waste or illegal use.

You should always document in writing the details of any relevant landlord tenant discussion regarding a lease violation and corrective action taken by landlord and tenant. Copies of writings and Warnings and Notices served on the tenant should be kept in the tenant’s file.

Difficult to predict in timing, severity, and duration, a natural disaster can cause major damage to, even destruction of a landlord’s real property. The damage and destruction to a property can cause business interruption to and even failure of the business. A landlord should be prepared with contingency plans to address a natural disaster situation including: tenant evacuations, tenant relocations, property safety and security measures, habitability issues, lease termination, eviction, surrender and abandonment issues, insurance claims, and repair, restoration and rebuilding plans.

The following information may be of benefit to a landlord in developing a contingency plan to address events during and after a natural disaster.

Most states have adopted the Uniform Landlord Tenant Act (URLTA) in whole or in part as the basis for their landlord-tenant statutes. URLTA provisions address various rental terms and conditions, and policies and procedures including casualty damage to a dwelling unit. As noted in the URLTA, “If the dwelling unit or premises are damaged or destroyed by fire or casualty to an extent that enjoyment of the dwelling unit is substantially impaired, the tenant may (1) immediately vacate the premises and notify the landlord in writing within [XX] days thereafter of his intention to terminate the rental agreement, in which case the rental agreement terminates as of the date of vacating; or  (2) if continued occupancy is lawful, vacate any part of the dwelling unit rendered unusable by the fire or casualty, in which case the tenant’s liability for rent is reduced in proportion to the diminution in the fair rental value of the dwelling unit.”

Some states’ landlord-tenant statutes may be silent on the obligations and duties of landlord and tenant following a natural disaster. If so, a landlord can include language in his lease agreement to add detail and clarity to his rental policies and practices related to what happens in the event that a natural disaster destroys or otherwise damages a rental unit.

Lease Agreement

The lease agreement is the governing document in the landlord-tenant relationship. In the aftermath of storm, flood, or other weather-related damage to a rental unit, a strong lease agreement is important in helping to protect the rental property, secure tenant safety, and ensure business continuity. Advance preparation and planning are key elements to quickly address and resolve issues during the return to business. Of concern to both landlord and tenant is what needs to be done when (1) when a rental unit has been destroyed and is not habitable, and (2) a rental unit has been damaged but is habitable.

Implied Warranty of Habitability

The implied warranty of habitability is a legal doctrine in most states that requires landlords to offer and maintain leased premises in a safe and sanitary condition fit for human habitation for the duration of the lease.

A lease agreement is a legal contract between landlord and tenant that does not end even if the rental premises is destroyed by a natural disaster. If the rental unit is deemed uninhabitable, the landlord must take steps to formally, legally terminate the lease agreement and release the tenant from his contract obligations.

If the rental unit is damaged but considered still habitable, the lease agreement is still in effect, binding landlord and tenant to original lease terms and conditions.

Habitability issues raise concerns with tenants regarding where they are going to live, when repairs will be done, and, for most tenants, what is their rent responsibility. Landlord communication with tenants is important to keep tenants informed and working together with the landlord to continue the tenancy or move forward to lease termination.

Rent

The lease agreement should cover all rent obligations of the tenant during his tenancy. The landlord’s obligation to provide habitable housing is tied to the tenant’s obligation to pay rent as agreed during the lease terms. If the rental unit is not habitable, a landlord cannot collect rent per the lease terms. Until the lease agreement expires at end of contract term, or is legally terminated, the tenant is responsible for rent. When the lease agreement has been legally terminated and the tenant has surrendered the rental premises, the tenant’s obligation for rent is ended.

Rent Abatement

A lease agreement may include a clause that in the event the rental property is damaged, a landlord agrees to reduce the tenant’s rent proportional to the amount of damage incurred, or if the rental property is destroyed, to suspend rent until the rental property returned to habitable condition or is rebuilt.

Rent Withholding

A tenant may withhold rent in an attempt to force the landlord to comply with landlord obligations to keep and maintain a habitable rental unit. In the case of a natural disaster, damage may be beyond the landlord’s control. Rent withholding serves no purpose in a casualty event. In some states rent withholding is prohibited by statute for such an event.

Security Deposit

The issue of the tenant’s security deposit must be addressed in the lease agreement regarding what happens in the event of lease termination due to habitability issues. A tenant cannot be held responsible for damages caused by a natural disaster. A landlord can recover funds from a tenant’s security deposit if the tenant has defaulted on his obligation to pay rent and owes past due rents. If the rental unit has been destroyed, a proration of the security deposit as of the date of the casualty should be made and the prorated amount refunded to the tenant. If the rental unit is damaged but still habitable, the security deposit can in some cases be retained by the landlord.

Lease Clauses

The following sample lease clauses addressing property damage or destruction, and as allowed by statute, may be of help to provide clarity for casualty issues. Landlords may want to consider incorporating such language in their lease agreements.

• Landlord’s responsibility to repair or replace damaged rental property is determined by the terms of the lease or as required by law.
• Landlord is not liable for damage to or loss of Tenant’s personal property caused by a natural disaster. Landlord does not provide insurance coverage for loss or damage to Tenant’s property. It is Tenant’s responsibility to timely acquire insurance as required by the lease or as Tenant desires to cover loss or damage to his personal property or personal injury.
• The occurrence of any natural disaster does not relieve Tenant from his obligation to timely pay rent and other owed monies. If evacuation or other storm preparation might prevent Tenant from paying rent on the first of the month, Tenant must make arrangements to pay rent in advance to avoid late payment and associated penalties.
• Neither Landlord nor Tenant shall be required to perform any covenant or obligation in this Lease, or be liable in damages to the other party, so long as the performance or non-performance of the covenant or obligation is delayed, caused by or prevented by an act of God.
• No party shall be liable or responsible to the other party, nor be deemed to have defaulted under or breached the agreement, for the delay in performance of this agreement when and to the extent such failure or delay is caused by acts beyond the party’s control (force majeure).

Due to many variables including state landlord-tenant statutes and unique lease agreements for individual properties, it may be advisable for a landlord to consult with an experienced attorney knowledgeable in landlord-tenant matters to ensure understanding and compliance of applicable law.

Property damage and noise disturbances are the most frequently cited problems in renting to college students. Damage including excessive wear and tear to the property can result from having multiple occupants in the unit and frequent visitors to the property. Property damage can also occur if tenants ignore maintenance issues which could cause major damage at a later time when finally discovered.

A lease agreement should always include a clause that prohibits tenants and their guests from creating a nuisance by disturbing or interfering with the quiet enjoyment of the rental property by other tenants or nearby residents. If the tenant violates the lease by creating a nuisance with loud or excessive noise, you should take action accordingly to your lease terms and conditions regarding disturbances.

Your tenant screenings are priority risk management measures for all rental markets and demographic populations. While some student renters may have limited history in credit, employment, or independent housing, standard tenant screenings should always be conducted. No assumptions should be made regarding an applicant’s history or qualifications. Without screenings you cannot make an informed decision for tenancy.

Basic tenant screenings can include identity verification, background check, credit report, rental housing history, references, employment and income verification, and public records search. Make sure that you research applicable fair housing laws, state statutes, and local ordinances to determine what screenings are allowed or may be restricted according to state and local regulations for your property location.

You can reject an applicant who does not meet the qualification standards or alternatively, accept the applicant with conditions. It is common to require a co-signer or guarantor for the student applicant as a condition for tenancy. Usually one parent or both parents sign as financial guarantors for the student during the lease term. While the terms co-signer and guarantor are often used interchangeably, they can be significantly different and must be adequately defined by the lease agreement.

A co-signer is the same as the primary signer, being simply a signer on the lease agreement. Unless otherwise stated in the agreement document, a co-signer can have all the same rights as a tenant who resides in the property. Accordingly, all co-signers for a lease agreement should be served all notices that are served on those signers occupying the property.

A guarantor is someone who assumes certain financial liabilities for a lease, but does not actually sign the lease agreement and, therefore, has no rights to the premises. The guarantor can be made liable for all financial matters including rents and property damages or only for rents. The guarantor agreement can provide for service of notices to the guarantor(s).

Keep in mind that each co-signer or guarantor must be screened and qualified according to your standard tenant screening policies before being accepted as the student’s co-signer or guarantor and an offer of tenancy is made.

There are some common risk management practices that can help protect your business. You may you need to add or modify rental practices to better support your individual business. Many students are first-time renters and have little to no experience in an independent living arrangement. As the landlord you may need to be more actively involved in daily operations in order to stay on top of things. It’s important to be accessible to your tenants for their questions, maintenance and repair requests, and community living issues.

Communication between you and new tenant is an important part of a good tenancy. Start off by letting your new tenants know the best way to communicate with you – such as a rental portal or directly with you by phone, text, or email – and what policies and practices are in place to handle their questions, concerns, and emergencies. It’s a good idea for you to define for new tenants what constitutes an emergency, what the tenant should do in case of emergency, and what you will do in response to an emergency.

You should not take for granted that a new tenant understands rental living. New renters may have more questions than an experienced renter. You may need patience in the beginning of the tenancy to train the tenant on your rental rules, particularly rent issues, that is when the rent is due, how the rent should be paid, if there is a grace period and/or a late fee if rent is not paid by the due date, and what happens if the tenant defaults on his lease terms.

A landlord-tenant relationship is a business relationship and while you can be friendly with a new tenant, you must be professional in all your dealings and respectful of tenant rights.

You need a strong lease agreement that has clear, well-defined rental terms and conditions. During new tenant orientation the important lease clauses should be reviewed with all occupants and with co-signers or guarantors as applicable. The new tenant(s) should be reminded that the lease agreement is a legal, binding contract that governs landlord and tenant obligations and duties for the stated term of the lease. This is an important reminder to a student tenant that he is obligated for the full payment of rent for the stated lease term and the consequences of a lease default. Lease clauses for joint and several responsibility and prohibition of noise and disturbances should be strongly emphasized. All deposits and fees should be collected in good funds before the rental unit is transferred to the new tenant. Remind the tenant that the security deposit is not rent and cannot be used for the last month’s rent.

A move-in inspection of the rental unit is strongly advised and in many states is required by statute. Your lease terms and conditions should require the tenant to sign and date the move-in checklist regarding the condition of the unit at move-in date. The tenant should be advised that the same checklist will be used at time of move-out to determine if the rental unit was returned in the same good condition. It can be helpful to provide the tenant with a copy of important need-to-know rental practices such as trash and garbage collection and disposal, parking rules, laundry facilities, or other information that was covered during orientation to help the tenant get settled.

A strong lease agreement should be strongly enforced. The new renter must meet lease terms and conditions, community rules, and must know what happens when he violates his lease including legal action for material violations of lease terms. The lease agreement terms and conditions and the landlord’s rental rules help protect the tenants, the neighbors, and the property. If rules are not enforced or lease defaults are allowed to go without notice and correction, the safety and security of other tenants could be at risk.

Renter insurance coverage is another way to protect both you and your new renter. As allowed by the state’s landlord-tenant laws, you should require the renter to purchase renters insurance as a condition of tenancy. You should remind the renter that landlord insurance coverage does not protect a tenant against liability claims related to a rental or cover the tenant’s personal possessions. It is the tenant’s responsibility to protect his possessions against loss or destruction and to defend against claims of personal liability for injury to other persons or property damage.

Document everything related to the tenant and property that is relevant to the tenancy. This would include the rental application, screening reports, applicant interview notes, lease agreement, supplemental documents, tenant orientation details move-in/move-out inspections and checklists, maintenance and repair requests and completed work services.

It can be helpful to contact the new tenant after tenant is settled in but before the first rent is due to answer any questions or provide assistance or instructions as needed.