Sunday, February 25, 2007

Ways to avoid getting soaked by tenant’s waterbed

Author: Skia
Category: Investor's Checklist

Q: I own a few rental condos. What are the pros and cons of allowing waterbeds in an upstairs unit? I’m not sure how much I like the idea, especially because I just installed new carpet and appliances in this older property. I would require the tenant to have renter’s insurance.

Property manager Robert Griswold replies: I have not seen any problems with newer waterbeds as long as the tenants are careful. And it being upstairs is of little concern.

California Civil Code section 1940.5 specifically prohibits landlords from denying waterbeds if the property was built after Jan. 1, 1973, but you can require a $100,000 insurance policy and have the right to inspect the installation periodically. You also have the right to collect additional security deposit of up to a half-month rent.

Virtually all rentals will support a waterbed on the second floor, and new waterbeds rarely leak. Typically, any damage is from operator error or negligence during the installation and removal process. Your standard owner’s rental insurance policy would cover any damage, but I recommend that you require the tenant to provide you with at least the $100,000 waterbed insurance or better — a standard $100,000 renter’s insurance policy with you named as an additional insured.

Q: There are many large dogs (60 pounds and up) in the apartment complex where I live. However, the complex has a 35-pound pet limit, which it advertises on its Web site and which is included on the lease that all tenants sign.

Many of the dogs are allowed to roam free on the grounds, which can be intimidating. When I signed my lease, I did so believing that the 35-pound limit was enforced. Had I known the complex was overrun with large, noisy and aggressive dogs, I would not have moved here.

Management now says that the limit is not a hard and fast rule. Can I break my lease based on the fact that management refuses to enforce their own rules?

Tenant’s attorney Steven R. Kellman replies: If all of the requirements of a lease are met and the document is signed, it is a valid and binding contract. The lease usually dictates the rights and responsibilities of the parties. Because most residential leases are drafted by the landlord, the lease will contain many rules, conditions and regulations that the tenant must abide by (unless they are illegal or otherwise unenforceable).

One rule in your complex limits the weight of pets. Apparently, there are dogs that violate the weight limit set forth in the leases. Even though you are not a party to the other leases, the law will protect you as a third-party beneficiary to those other leases.

In other words, you can expect and rely on the enforcement of those rules in all leases, which are meant to benefit you as a resident at that complex. Because those rules are not being enforced, and you probably would not have rented there had you been so informed, you may use that point as a way to try to break the lease.

Take caution when breaking leases. If you simply move out without legal protection, you may be held liable for the balance of the lease term as well as other damages. Therefore, seek legal advice before acting to break a lease.

Send questions to Rental Roundtable, 5703 Oberlin Drive, Suite 300 San Diego, CA 92121-1743, or by e-mail to rgriswold@retodayradio.com.

Source:

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2007/02/25/REG9JO9HA71.DTL

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