Avoid being Stuck in a Tenant Relationship
Building trust is a process. Trust results from consistent and predictable interaction over time. -Barbara White
It’s pretty safe to say, building trust in a relationship is very important. As a property owner you are allowing new tenants to live in your property and want you to feel secure that they honor the agreements set forth in the lease and that you are comfortable with them living in your proptery. Applicants can look amazing on paper. Their job history and stability, credit score, and background check can paint a great picture. This is your first step in getting to know your tenant but it can take awhile to build trust with your tenant. As with all relationships, sometimes it's great in the beginning but over time it is just not working out and you want to dissolve the relationship. Being stuck in a relationship you don’t like is really frustrating.
Prior to the California Statewide Rent Control Law, AB1482, if you had a tenant with a 12 month lease, at the end of the lease you could give the tenant a 30 day notice to move out. You did not need reason or “just cause”. You could dissolve the relationship easily. Now, with the California law, AB1482, it is not as easy to get out of a 12 month lease. You need to have “just cause” and “just cause” can be very limiting as an owner. If you have a tenant who is disturbing other tenants, constantly pays rent late, complains and submits frivolous maintenance requests, or a myraid of other reasons that don’t prove “just cause” you can not submit a 30 day notice to move out.
Owners can get stuck with tenants they don’t want living in their property! To prevent this, we recommend you provide 10 month leases to tenants. With a 10 month lease, you will have time to build trust with your tenant, and if need be, break up without “just cause”. Simply submit a 30 day notice and you are free from the relationship. It’s that simple!
Please note, the restrictions to evict a tenant do not apply to a single family residence or if you own a duplex and live in one of the units. If you are currently in a 12 month lease with a tenant and would like them to move out you need to adhere to the definition of “just cause”.
Also, remember, during the California, Stay at Home, mandate, you cannot start the process to evict a tenant for any reason until 90 days after the order has been lifted.
We are committed to make sense of this rapidly changing environment, maintain your property, understand the laws of property management, and help increase the value of your property. We believe residential real estate is still the best investment and hedges against inflation. If you would like to drill deeper into AB142 or have any further questions, contact Steve at 310-529-6456.