As a landlord, you know that residents of single-family rental homes can be quite creative when it comes to using their rental homes for unauthorized purposes. When these uses result in lease violations, however, the situation can get very difficult in a hurry. This is particularly true when a renter is using a rental home to run a business. Rental homes are, by definition, residential properties. Any use of a residential property other than as a private residence may result in trouble and could create liabilities for you as well. Most cities, counties or owners associations have clear ordinances that, if violated, can lead to fines or other penalties.
Increased traffic or materials going in and out is one of the more obvious red flags but figuring out whether this is related to a business venture can be tricky. Complaints from neighbors are a double-edged sword: they can alert you to a problem, but they can also create hassles for you as well. The last thing you want is for your rental to become notorious as “that house.” But even worse, you don’t want to damage your relationship with your renters by leveling false accusations about suspected lease violations. As a property owner, you’ll need to act quickly to put a stop to unauthorized business activity in your rental homes or risk liabilities. But figuring out whether a violation has actually occurred and how to take appropriate action can be difficult.
Appropriately managing a property and preventing issues like residents running an unauthorized business out of your rental home is not something that can be put on autopilot. Contact Real Property Management Premium for more information today!