Landlord Newsletter August 14, 2012

Dear Fellow Landlord,

Do you ever wish for a "do over" after meeting with tenant prospects that you think may have been "the ones", but for some reason chose not to rent from you? I hope you find the article "Dumb Things Landlords Say" entertaining.

In this newsletter:

• Dumb Things Landlords Say to Tenant Prospects
  
• FREE Essential Form Download - (Attorney's Fee Warning Notice)
• Ask the Attorney, Real Estate Attorney, John Reno
  
• Success Quotes
  

Please e-mail us if you have any questions or would like to add or share any material / information. Have a great month!
John Nuzzolese
John@theLPA.com

We always try to say the right things during the rental process, but sometimes the prospective tenants hear something that scares them off. Most savvy landlords know what to say and what not to say, but amazingly, people still say stupid things to prospective tenants. Here is a helpful and sometimes humorous look at what I have personally heard landlords say to prospective tenants.

1. Discriminatory Statements or Questions can get a landlord into serious trouble as they are a violation of civil rights and the Fair Housing Act.
   • "I don't think you'd be happy here. This is an all ___(race, religion or nationality)__ neighborhood."
   • "I can't stand the smell of that kind of cooking."
   • "Are you two people gay?"
   • "I only rent to married couples. I need to see your marriage license."

2. "I want the rent in CASH."
   Statements like this can lead the tenant (often correctly) to the conclusion that the landlord is not reporting the rental income to the IRS. If and when push comes to shove, tenants love to threaten that they will report you to the IRS for tax evasion.

3. "I live in Beverly Hills."
   Don't brag to a tenant about where you live.
   • They should not know where you live.
   • They do not like to hear about how well off you are and how their hard earned rent is paying for your mansion and car.

4. "My last tenant owes me 6 months worth of rent, plus I lent her some money when she got in trouble. How can you ignore someone who comes to you for help, ya know?"
   This kind of statement invites your new tenants to use you as their new ATM when things get tough.

5. "My previous tenant is suing me for her security deposit."
   Why in the world would you share this information with a prospective tenant? It sounds like you are in the habit of not returning the security money.

Click to read more STUPID Things NOT to Say to Tenant Prospects

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Real Estate Attorney John Reno, an expert in landlord tenant legal matters, has specialized in landlord tenant law for many years. Mr. Reno answers questions asked by LPA members to help solve all kinds of landlord tenant problems.

Dear Mr. Reno:
Friend of mine decided to move to CO from Nevada. He has applied for a rental house in Canon City, CO. He did not see the property before applying. The by-mail application was approved, however no lease was signed yet. Unfortunately, before he arrived, my friend asked his son to give the prospective landlord a check with security deposit and two months worth of rent. The check was not supposed to be cashed until the lease was signed. Friend arrived from Nevada, saw the rental and decided not to rent it after all, as it was filthy and in disrepair. It turned out, the rental owner cashed the check as soon as he received it, causing overdraft fees to the son’s account, as the money wasn’t there, because the check was not supposed to be cashed before signing of the lease.
How does my friend get the money plus the overdraft fees back? Does the rental owner have the right to keep the money? He stated, that he would keep the deposit and one month’s rent for breaking the lease. No lease was ever signed.
Regards,
Margaret, Pueblo, CO

A: Contrary to popular belief, there is no law that a rental agreement has to be in writing. Some rentals have written leases, but some are just verbal agreements. So this is a quandary. Did your friend's payment constitute an agreement to rent? I can't say for sure without all the facts, but it sounds like it did. He can sue in small claims court to find out, and I think he should, but he'll have to do it in Nevada.

If you have a landlord tenant problem you'd like to ask a question about, please feel free to e-mail me your question.
Submit a landlord / tenant question for Mr. Reno
Please try to keep your questions as short and to the point as possible.

"We can let circumstances rule us, or we can take charge and rule our lives from within." - Earl Nightingale

"I know God won't give me anything I can't handle. I just wish He didn't trust me so much." - Mother Teresa

"You can have happy tenants with an unhappy landlord. You can have a happy landlord with unhappy tenants. I strive to have happy tenants so I can be a happy landlord!" - John Nuzzolese

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