Members present were Jerad Prevost, Bruce Smith, Sara George, David Wymore, Kim Higby, Jon Kressin, Adam Pearce, Jamie Fallowfield and Jennifer Morris. The committee is looking at which goals and what to focus on in 2021 that will help make the community a better place to live for everyone.
Chico City Council’s primary focus was on sheltering homeless and affordable housing. Oroville council is working on fire and police. Butte County Board of Supervisors are discussing FEMA trailers and Rental Assistant funds ($13 million} that may be given to Butte County Housing Authority to manage. Legislative Bills are due by February 19, 2021. Bill Sheridan was asked about IREM and Co-Star and market reports. There will be discussions on market conditions, vacancies, real estate sales and building.
Landlord/Tenant Questions & Answers
Ted Kimball, Esq.
1. Question: I have a month-to-month rental agreement with a tenant and have given a 60-day notice to vacate. Since the service of the notice, the tenant has not paid the rent so I served him with a 3-day pay rent or quit notice. Did that void the 60-day notice?
Answer: The 3-day notice would not invalidate the 60-day notice unless you asked for rent that went beyond the 60-day period.
2. Question: The present rental agreement is for two tenants. One has passed away. Do I need to write a new rental agreement with the remaining tenant?
Answer: You are not required to write up a new lease, the current tenant is still responsible for the full rent and other lease terms.
3. Question: We rent our detached in-laws quarters in the back yard of our property. Can we specify in the “house rules” that no visitors are allowed on the property? Also, can we specify “no smoking” in or around the unit?
Answer: You could prohibit smoking, since it is a health and fire hazard. Restricting visitors would most likely violate the tenant’s constitutional rights of freedom of association.
4. Question: We have a tenant who gave us verbal notice to vacate the premises. How do we calculate the rent owed?
Answer: A verbal notice is of no legal effect. The time begins to run when the written notice was served.
5. Question: Can you require that a guarantor for a rental applicant own property or be on the title to real property?
Answer: Since you do not have to accept a guarantor, you can subject the guarantee to conditions such as requiring the guarantor to own property in California, and/or live in the city where the rental is located.
6. Question: I have tenants whose lease ends at the end of this month. Can I begin to show prospective tenants the unit while my current tenants are still under a lease?
Answer: You can show the property to prospective tenants at any time during the lease, upon giving reasonable written notice of intent to enter (24 hours is presumed reasonable under the law) and the entry is done during normal business hours.
7. Question: If one tenant moves from one unit to the other unit within one building, can I deduct the security deposit to cover the damages and fix up for the old unit, then ask them to redeposit the amount of money to make up the security deposit for the new unit?
Answer: Yes. In cases of transfer, in addition to leases or rental agreements for both the old and the new units, landlords may want to use a written transfer agreement to address issues that arise in transfers, such as termination of the old lease and the security deposit. As to the security deposit, landlords have two options: (1) transfer the security deposit from the old lease to the new lease (and specifying the tenant’s obligations if a portion of the security deposit needs to be applied to amounts due for the old unit) or (2) requiring the tenant to pay a new security deposit for the new unit.
8. Question: I have recently purchased a 20-unit apartment building. Must I have an apartment manager on site 24 hours a day, 7 days a week?
Answer: California law requires that you have a manager, janitor, housekeeper or other responsible person reside on the premises representing the ownership when there are 16 units or more. They do not have to be working 24/7.
9. Question: We had two tenants move out and deduct their security payments as a last month’s rent. We have accrued expenses for damages and cleaning. What can we do?
Answer: If you can locate the former tenants, you can sue them in small claims court to get a judgment which is valid for 10 years. As an alternative, you can turn the matter over to a collection law firm that is experienced in collections against former tenants.
10. Question: How long does an unlawful detainer judgment stay on the tenant’s record?
Answer: As with all judgments, it is valid for 10 years as far as collection goes, but the credit reporting agencies keep this information for seven years. The judgment also accrues interest at 10% per annum, and can be renewed for an additional 10 years.
11. Question: I represent an owner of several buildings who has a few tenants that are past due on their rent. Instead of evicting them, he is offering the tenants a payment plan, if they are willing to sign a promissory note detailing the arrangement. If the tenant defaults on the promissory note, will he have to start a new eviction proceeding with a 3-day notice?
Answer: If a tenant will remain in possession, instead of a promissory note, the landlord may wish to utilize a well-drafted payment plan agreement that specifies failure to pay will be a breach under the lease or rental agreement, allowing the landlord to pursue any remedies allowed by law, including (but not limited to) possession of the property and a money judgment through an unlawful detainer action.
By Jennifer Morris
1. Fully qualify your prospective applicants prior to approving and moving them in.
2. Take move in pictures and properly document the condition of the home at the beginning of the tenancy.
3. Communicate what the rights and responsibilities of both parties are.
4. Were maintenance issues dealt with in a timely manner?
5. Did you perform at least one interior inspection to check for preventative maintenance concerns, smoke and carbon monoxide inspections annually?
6. When notice of termination was given was an initial pre-move out inspection disclosure provided to allow the residents to know of the condition prior to moving in and what to prepare for at move out?
7. Did you perform the final move out inspection with the residents?
8. Did you itemize an accounting of the residents security deposit within the 21 days after receiving possession of the home?
9. Did you mail to the last known address and include receipts for charges against the deposit?
10. If you are saying no to any of the questions above please reach out to the NVPOA office at 530-345-1321 and let us point you in the right direction.
One of the many benefits of being a member of NVPOA is to be able to walk into our office, send an email, or call and run your current scenarios by either Chelsie or Jennifer. We hope you feel comfortable taking advantage of this support during your membership and please feel free to let others you know about this benefit as well. We are not attorney's but could most likely point you in the right direction and provide you with peace of mind. We know it can be scary not knowing what your rights or responsibilities are so just ask us. We are here to support you!