Landlords should see going to court as a landlord's last resort. Unfortunately though, a court appearance is a fact of life for many landlords who are looking at regaining possession of their buy-to-let investment property, or are simply trying to retrieve rent & other monies owed to them by their tenant.
It is almost certain that any case that does go to court involving a landlord will end up in one of the 218 county courts in the country which deal with all but the most complicated civil law proceedings. Each court has Bailiffs who enforce court orders and seek to collect money if a judgment has not been paid.
So as a landlord you have filed court proceedings and the day is fast approaching when you will have to appear. What does a landlord need to do?
Justice
Firstly, a landlord should dispel any romantic notion that a landlord's court appearance is a mechanism to bring about justice after months of suffering at the hands of a bad tenant. One landlord neatly summarised the legal system governing the renting of property:
"it's got sod all to do with who's right and who's wrong, just who's filled in the proper bits of paper and knows their bundle of papers really thoroughly."
This means that even when you as a landlord know that you have done the right thing, this will count for nothing in the eyes of the law. Landlords should realise that going to court is case of proving a set of events against a list of very specific criteria. It is nothing to do with justifying that you the landlord are a good person and that your tenants are bad.
A landlords preparation for a court appearance
Careful preparation is definitely the key to any landlord's court appearance, particularly if the landlord is representing themselves. A landlord really needs to know what the Civil Procedure Rules (CPR say about the area of law they are taking action over. For example, the repossession of a landlord's buy-to-let property following a period of non-payment of rent. Civil Procedure Rules (CPR for those landlords that haven't come across them before are the procedural code that sets out how the court deals with cases in a just manner. Landlords before going to court should be aware of it and in particular the first few parts of the Civil Procedure Rules (CPR that deal with how court business is run in respect of paperwork, dates of service, etc.
It's all about the evidence a landlord can present
As I mentioned previously the secret for any landlord who wants to obtain justice is providing sufficient evidence. Before going to court a landlord will have to submit a pile of documentary evidence. This folder of documentary evidence is known in legal parlance as a "bundle" and it should contain all the evidence that a landlord refers to in their statement. This might be letters that have been exchanged between the landlord and tenant, rent statements, the tenancy agreement, etc. A landlord should prepare their table of contents carefully, giving the date, a name for the entry (e.g. e-mail from defendant to landlord) and a one-line summary of the important point in the document. (For example a defendant states that they have no money available to pay rent). It is important that the landlord numbers the pages in the bundle and that they know what is where in case the judge decides to ask a question about it. A landlord should put post-it notes on the edges of their own copy so that they can find things quickly and simply. A landlord should present the court's bundle in a ring-binder folder so the judge can easily get to the pages that the landlord refers to (this is a requirement of the Civil Procedure Rules (CPR anyway.)
A landlord should establish a clear timeline of everything that has happened to assist the judge in their determination. The landlord should also endeavour to give precise dates and amounts of money.
Finally, in preparing their statement, where a landlord makes reference to letters, e-mails etc, a landlord should make a note in their statement of the exact page number where this bit of evidence occurs in the landlord's bundle. This will help the judge when referencing the evidence and is also a requirement in the Civil Procedure Rules.
Most importantly a LANDLORD SHOULD BE WELL PREPARED. More importantly, they should be better prepared than their opponent, THE TENANT.
Tips for landlords on the court appearance
1. Firstly, a landlord should try and stay calm. A landlord should present their case in a dispassionate and calm manner. Getting worked up or annoyed will not help a landlord's case but getting across the facts and evidence will.
2. Court appearances are often brief. Landlords shouldn't expect an epic appearance. Where the defendant (the tenant) fails to show which is quite common and the evidence provided to the court is clear cut, the whole thing could be over in 5 minutes.
3. It is always useful for the landlord to have the basic facts on a single piece of paper as an 'aide memoir' and for easy reference listing the page or paragraph reference in the landlord's bundle of evidence (the landlord should bring the full details as well just in case)
If for example, the landlord is seeking possession under section 8 grounds the landlord might have the following information to hand:
* Tenancy start date
* Date the Section 8 Notice was served and how (proof of postage if the landlord has it)
* Arrears figure worked out to the set date. I normally do a large print spreadsheet for the judge to see.
4. A landlord should keep their answers to any questions short (yes / no). A landlord should be clear and concise. Landlords will probably find that the tenant will waffle on annoying the judge and digging a deeper and deeper hole for them selves. Remember a landlord can never prove a negative. For instance, that a tenant has not paid rent. Instead, a landlord should ensure that they lodge whatever evidence they hold and then claim that a tenant has not paid the rent; they should let the tenant prove that they have.
Remember all the evidence that a landlord has produced in court should have been submitted beforehand within a landlord's witness statement. The judge and the defendant will get a copy of this before the hearing.
5. Landlords should be aware that courts and even judges are not infallible. Therefore a landlord should always check any judgement carefully to ensure that the law has been correctly applied. If in doubt a landlord should always seek clarification from the court, or if a landlord is still unsatisfied they should seek professional advice. There have been cases for where the admin staff working at the court have not been clear on the judgement and issued an incorrect judgement or even that a judge has misinterpreted the law!
Chris Horne is an experienced landlord and property professional who now runs the website Property Hawk, a site aimed directly at UK Landlords. The site incorporates free property management software that enables landlords to track all their financial data relating to their portfolio. It allows users to print tenancy agreements and other forms FREE FOREVER. The site generates a real time rent book for each property as well as calculating a landlords tax liabilty. The service is totally free to use at propertyhawk.co.uk
Article Source: http://EzineArticles.com/?expert=Chris_Horne
Showing posts with label problem tenant. Show all posts
Showing posts with label problem tenant. Show all posts
Thursday, 6 May 2010
Tuesday, 20 April 2010
Tenancy Deposit Regulations - The Facts for Landlords
As a landlord you need to be certain about the best way to protect yourself against the financial impact of having tenants who damage your property. These can be the very people who either fail to pay all the rent they owe you, or fight to get their deposit back - even though this is required to cover the cost of damage - costing you time and money.
As you will know, since April 2007, any deposit taken from a residential tenant under an assured shorthold tenancy agreement needs to comply with new legislation.
In effect this means that any deposits taken must be placed within a government approved scheme either by placing the monies in the hands of an approved third party, or by having the deposit insured for the benefit of the tenant.
Both these can involve the landlord in administration and lead to uncertainty over the level of protection provided. This has had a significant impact on the entire buy-to-let sector, potentially reducing the attractiveness of this form of investment. There are however, a number of ways in which the burden on landlords can be managed or virtually eliminated.
Do nothing
One of these is to take no action at all; that is not to take a deposit and to rely on tenants not damaging the property. For most landlords, this is unlikely to be an attractive option.
Use a designated deposit scheme
While this appears to be the simplest solution, it does have potential drawbacks, not least of which is that these schemes either involve cost or, if free, offer no interest on the money deposited (which is how the administration is paid for). In general, they are unlikely to provide any dispute resolution service, so there could easily be additional expense when a tenant leaves, should the landlord wish to retain any of the money to make good damage.
Use a 'combined' deposit scheme
Some deposit based schemes also include dispute resolution, but these will involve fees covering both membership and a charge per letting. Several schemes are promoted by the Residential Landlords Association and can include a combination of holding deposits and insurance in order to provide maximum protection to all parties.
A dedicated tenants deposit insurance solution
An alternative which is proving increasingly attractive to many landlords is a landlords insurance. This obviates the need for a deposit to be taken while still providing full protection for the landlord for up to £1,000 worth of damage in any period of insurance (once the damage exceeds £100 in value).
In each case, a check of the tenant is undertaken by Keysafe (UK) Ltd, giving you peace of mind of knowing that you are not taking on a tenant with a poor rental history. The insurance covers damage discovered within 14 days of the end of the tenancy period and is offered in addition to most landlords insurance policies.
Costs range from as little as £42 a year; less for members of the National Federation of Residential Landlords.
As an extra to property owners insurance, some insurance brokers also offer rent guarantee insurance, at additional cost, if required. This can indemnify you should a tenant fail to pay your rent within the terms of the agreement and you are unable to recover the arrears from the deposit.
General tips
You should always make an inventory of the property before each tenancy commences, in order to help with dispute resolution. Ideally, digital photographs taken in advance will help both landlord and tenant should the need arise.
Article Source: http://EzineArticles.com/?expert=Phillip_Green
Monday, 19 April 2010
Landlord checks
Many people with properties earn an extra income or make their income by renting out their home or establishments. The landlord usually tries to rent out their home or other establishment to known people or through people known to them in order to avoid the risk of getting tenants who may not pay the rent properly.
But, renting out the home or establishment to a known person is not always a possibility and the landlord might have to rent out their place to a person unknown to them. In such cases, it becomes necessary for the landlord to run a background check on the tenant to ascertain his credibility and the ability to bear the financial responsibility of paying the rent.
There is also the risk of the person whom the landlord wants to rent out his premises having a criminal background or being a terror suspect, etc. There are chances that the person may be a habitual sex offender. All these associated risks make it imperative for background checks by a landlord on his tenant.
Usually, such background checks for the landlord are conducted by accredited agencies that work on the guidelines from Fair Housing Laws and Fair Credit Reporting Act. As per these acts, there are certain types of landlord background checks on the tenant that require a consent to be signed by the prospective tenant before they can be conducted.
Based on data provided by the prospective tenant, the agencies will verify the information with references and also by checking various data bases. The agency will first conduct the employment verification and tenant verification by contacting the list of references provided and checks the authenticity of the information.
Once this has been completed, the agency will then continue the landlord background check on the tenant by accessing several public records such as social security number, driving motor vehicle records, etc to check the identification of the person and also to cross refer the information provided by the tenant as well as his references.
They will then conduct a search on some databases such as state or county criminal records, sex offender registers, state eviction records, etc to search whether the person has any criminal background and to ascertain whether the person has any history of violence and creating nuisance. The also access a database called the terror watch list report that has a list of terror suspects and most wanted people to eliminate the chance of the person belonging to any such lists.
If sought for, the agency conducting the landlord background check on the tenant will also run a check on credit history of the person. This is to ascertain whether the person is running any bad debts that may affect his financial standing and his capability to pay the desired rent.
Landlord Background Check
Free background checks
Background Check
Article Source: http://EzineArticles.com/?expert=James_Dean
But, renting out the home or establishment to a known person is not always a possibility and the landlord might have to rent out their place to a person unknown to them. In such cases, it becomes necessary for the landlord to run a background check on the tenant to ascertain his credibility and the ability to bear the financial responsibility of paying the rent.
There is also the risk of the person whom the landlord wants to rent out his premises having a criminal background or being a terror suspect, etc. There are chances that the person may be a habitual sex offender. All these associated risks make it imperative for background checks by a landlord on his tenant.
Usually, such background checks for the landlord are conducted by accredited agencies that work on the guidelines from Fair Housing Laws and Fair Credit Reporting Act. As per these acts, there are certain types of landlord background checks on the tenant that require a consent to be signed by the prospective tenant before they can be conducted.
Based on data provided by the prospective tenant, the agencies will verify the information with references and also by checking various data bases. The agency will first conduct the employment verification and tenant verification by contacting the list of references provided and checks the authenticity of the information.
Once this has been completed, the agency will then continue the landlord background check on the tenant by accessing several public records such as social security number, driving motor vehicle records, etc to check the identification of the person and also to cross refer the information provided by the tenant as well as his references.
They will then conduct a search on some databases such as state or county criminal records, sex offender registers, state eviction records, etc to search whether the person has any criminal background and to ascertain whether the person has any history of violence and creating nuisance. The also access a database called the terror watch list report that has a list of terror suspects and most wanted people to eliminate the chance of the person belonging to any such lists.
If sought for, the agency conducting the landlord background check on the tenant will also run a check on credit history of the person. This is to ascertain whether the person is running any bad debts that may affect his financial standing and his capability to pay the desired rent.
Landlord Background Check
Free background checks
Background Check
Article Source: http://EzineArticles.com/?expert=James_Dean
Sunday, 18 April 2010
Facts You Should Know When Renting a Property
There are many people who don't invest their money in buying a home. Instead, they prefer renting a home as it cheaper than buying a home. When you rent a home you don't have to pay for short-term lease and mortgage payments. When you own a home you also incur expenses on repair to the home and the appliances.
When you rent a home you must sign a rental agreement with the landlord. This agreement will have rules that you need to follow including when rent has to be paid and the deposit that you need to make. The rental agreement will also have rules for maintenance of the property.
Most rental agreements are usually for a period of one year. This means that a person who has agreed to sign the contract will remain in the rented home for a period of one year and pay the agreed rent for the specified duration. At times, this agreement could be for a shorter duration. Once the agreement period is over, the renter has to move to a new home if a new agreement is not signed between the landlord and the renter.
Usually most rental agreement does not require the renter to make repairs to the appliances or the home and they are not expected to pay for it. If the appliances like dishwasher is broken or requires repair, the land lord must repair it unless it is mentioned otherwise in the agreement. However, this could be a problem as the appliances may not be repaired as soon as one might want them to. At times, renters may have to wait for days or even weeks to repair appliances that are broken.
Abhishek has been writing articles online for nearly 2 years now. Not only does Abhishek specialize in writing articles on finance and credit but you can also check his website on Dracaena and Helicopter Flash Games.
Article Source: http://EzineArticles.com/?expert=Abhishek_Choudhari
When you rent a home you must sign a rental agreement with the landlord. This agreement will have rules that you need to follow including when rent has to be paid and the deposit that you need to make. The rental agreement will also have rules for maintenance of the property.
Most rental agreements are usually for a period of one year. This means that a person who has agreed to sign the contract will remain in the rented home for a period of one year and pay the agreed rent for the specified duration. At times, this agreement could be for a shorter duration. Once the agreement period is over, the renter has to move to a new home if a new agreement is not signed between the landlord and the renter.
Usually most rental agreement does not require the renter to make repairs to the appliances or the home and they are not expected to pay for it. If the appliances like dishwasher is broken or requires repair, the land lord must repair it unless it is mentioned otherwise in the agreement. However, this could be a problem as the appliances may not be repaired as soon as one might want them to. At times, renters may have to wait for days or even weeks to repair appliances that are broken.
Abhishek has been writing articles online for nearly 2 years now. Not only does Abhishek specialize in writing articles on finance and credit but you can also check his website on Dracaena and Helicopter Flash Games.
Article Source: http://EzineArticles.com/?expert=Abhishek_Choudhari
Friday, 19 March 2010
Problem Tenants Create Headaches For Landlords
Even though problem tenants may not be widespread in the business, it is very likely that every landlord will at some time rent a home to one. Now you could possibly be thinking this could never happen to you thanks to thorough background and reference checks that you complete for every would-be tenant. Be forewarned, if you plan to keep on owning rental property for any length of time, you will likely have to deal with a problem tenant eventually.
Landlords Have Choices When Tenants Violate the Lease
The offenses of problem tenants encompass everything from noisy parties to drug dealing. They sometimes destroy property or chronically pay late. How a landlord handles problem tenants will depend entirely on how often a tenant causes problems and the degree of the problem. A tenant who plays loud music or leaves garbage outside the unit should be handled differently than someone who is running a criminal operation such as drug dealing from their rental home. Tenants who commit minor offenses may respond to a notice and suppress their offensive behavior, which would save you time and money. Nevertheless, make sure that you keep comprehensive records of the complaints against tenants and any notices you send. If the lease violations continue or escalate, such records will help your case for eviction if you have to take it to court.
Landlords have other choices for handling tenants who cause minor problems without starting the eviction process. If notices have not been responded to and the renter continues to break the rules of the lease, you can attempt negotiation on your own or with a mediator. If you are frustrated with that tenant and you want them to move out of your rental home without having to officially evict them, it is possible that third party that they trust can save you the expense of an eviction by advising them to leave.
Nevertheless, serious problems can not be handled through notices or arbitration. Get in touch with the police if you suspect that a tenant participates in illegal activities. You will still be required to evict those lessees, even if they are convicted of a crime, since the police can not force them to quit the premises.
Act Cautiously if You Think that Tenants Have Abandoned Your Rental Home
Landlords cannot construe that lessees have abandoned rental properties without checking to make sure. You have to have reasonable proof of abandonment before removing renter's possessions. Measures you can take include questioning the neighbors, examining the rental home yourself and calling the nearest post office to see if they put in a forwarding address. Be sure to check the rental laws in your locality to find out how long you have to store abandoned belongings before you can legally dispose of them and what you must do to notify the tenants about the possessions they left behind.
Check out Scottsdale Arizona Property Management or Central Phoenix Arizona Property Management if you want quality help managing your Phoenix properties.
Article Source: http://EzineArticles.com/?expert=Lee_Bell
Landlords Have Choices When Tenants Violate the Lease
The offenses of problem tenants encompass everything from noisy parties to drug dealing. They sometimes destroy property or chronically pay late. How a landlord handles problem tenants will depend entirely on how often a tenant causes problems and the degree of the problem. A tenant who plays loud music or leaves garbage outside the unit should be handled differently than someone who is running a criminal operation such as drug dealing from their rental home. Tenants who commit minor offenses may respond to a notice and suppress their offensive behavior, which would save you time and money. Nevertheless, make sure that you keep comprehensive records of the complaints against tenants and any notices you send. If the lease violations continue or escalate, such records will help your case for eviction if you have to take it to court.
Landlords have other choices for handling tenants who cause minor problems without starting the eviction process. If notices have not been responded to and the renter continues to break the rules of the lease, you can attempt negotiation on your own or with a mediator. If you are frustrated with that tenant and you want them to move out of your rental home without having to officially evict them, it is possible that third party that they trust can save you the expense of an eviction by advising them to leave.
Nevertheless, serious problems can not be handled through notices or arbitration. Get in touch with the police if you suspect that a tenant participates in illegal activities. You will still be required to evict those lessees, even if they are convicted of a crime, since the police can not force them to quit the premises.
Act Cautiously if You Think that Tenants Have Abandoned Your Rental Home
Landlords cannot construe that lessees have abandoned rental properties without checking to make sure. You have to have reasonable proof of abandonment before removing renter's possessions. Measures you can take include questioning the neighbors, examining the rental home yourself and calling the nearest post office to see if they put in a forwarding address. Be sure to check the rental laws in your locality to find out how long you have to store abandoned belongings before you can legally dispose of them and what you must do to notify the tenants about the possessions they left behind.
Check out Scottsdale Arizona Property Management or Central Phoenix Arizona Property Management if you want quality help managing your Phoenix properties.
Article Source: http://EzineArticles.com/?expert=Lee_Bell
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