The Nitty Gritty of Rental Property Management

July 2, 2008

What is this MDE Certification and lead paint testing mumbo jumbo?

 

 

The Maryland Department of The Envornment (MDE) has instituted this state-wide program as a way to make sure that all Maryland residents are somewhat healthy and fully informed concernng their residential quality of life.  It’s also a way for the rental property owner to limit their liability in the off chance that their somewhat historic (or older) home actually harms their tenant while they are living n it.  In the old days, paint (among other things) used to contain large amounts of lead.  Lead was later found to be dangerous to humans.  As with asbestos, the removal of lead paint can be more dangerous than the actual presence because the powdery and flaking pieces can then be ingested more easily into the human body – thus causing harm.  Since a lot of homes were painted with lead-based paint, and lead-based paint began to be recalled by the manufacturers, the government instituted a nation-wide lead-based paint disclosure policy.  That’s why if you’ve ever tried to live anywhere in this country, you’ve undoubtedly come in contact with some of those lead-paint disclosure forms and brochures at or prior to move-in.   

 

As a rental property owner, especially of a home built prior to 1978, you become a bit more obligated to your tenant than just doling out standard disclosure forms.  In Maryland, if your home is built prior to 1950, then you are required by state law to have your home tested, and receive a passing certificate prior to occupancy.  If your home was built between 1951 and 1978, the program is totally voluntarily. 

 

If your home fails, then you are required to perform a remediation clean up (abatement), then have your home reinspected again.  Each inspection costs about $350 depending on the size of your home.

 

If you don’t have your certification (when required), there is a $500 penalty.  Not worth it.

 

As for the tenant, you have rights and responsibilties as well to ensure your safety in your rental home or apartment.

 

By law, you have the right to receive a “Notce of Tenant Rights” and the EPA brochure from your landlord every two years, as well as a copy of the lead pant certification at move-in.

 

Your landlord must also take extra steps to ensure your well-bieng by conducting Modified Risk Reduction treatments, if you are pregnant and have (or have a chld under 6 who has) an elevated blood lead level of 10 μg/dl.  This treatment is required to be performed by your landlord but in case they don’t receive the notice from the health department, it is up to you to send notice by certified mail.  While this treatment is being conducted it is an official work area, and you and your family are not permitted to stay there. Should you be displaced for more than 24 hours, it would be at the owner’s expense.

 

Lead paint protection is commanded by the state of Maryland through previously enacted legislation.  As such, rental property owners must comply to the fullest extent of the law without retaliating against the tenant through eviction for making complaints or remediation requests about possible dangers.

There are many other rights and responsibilities that you have as a rental property owner or tenant.  For the most detailed and up to date information, you should contact the MDE to at 1-800-776-2706 or visit the MDE website at www.MDE.state.md.us.

 

 

 

 

 

Are there penalties for not getting a Rental License in Montgomery County?

Filed under: MD Rules/Regs, Montgomery County, QnA from the Owner — Tami @ 12:30 pm
Tags: ,

Short Answer…Yes

Per Montgomery County DHCA “Any person who operates a rental property without first having obtained a License is subject to a class A violation and may have to pay civil fines as a penalty.”

These fines can be hundreds of dollars ($500 – $750).  It’s not worth it just to avoid paying the $56 or $98 licensing fee.  

What makes it even easier for you, is that when you hire a property manager, they’ll be responsible for completing the initial application (with your signature) and making sure that it’s renewed each year. 

Voila, you’re in compliance.

The License/registration year period follows the county’s fiscal year–July 1st through June 30th of each year. The full fee is due for any unit that is rented for any portion of the fiscal year.

June 23, 2008

What Do Real Estate Property Managers Really Do?

Filed under: DC Rules/Regs, MD Rules/Regs, NoVA Rules/Regs, QnA from the Owner — Tami @ 12:21 am

In short, a rental property manager’s duty is to manage the day to day operations of a rental property in the best interest of their owner-client.

 

These properties can be as large as an Avalon portfolio or as small as the home next door to you.  These owners can be multi-million dollar corporations with investment capital from other multi-million dollar corporations or they could be the couple who decided to retire to Florida and not sell their family home.

 

In either instance, when each property becomes a rental property and each owner a landlord, the rental unit now becomes an owner’s asset and begins to require necessary tasks that need to be managed professionally and in accordance with national and local laws, rules, and regulations.  These tasks include tax reporting, fair housing compliance, lead based paint testing, security deposit management, and more.

 

A rental property manager’s job is to make sure that this asset is well managed, ideally producing income, and is in full compliance at all times.   Some of the specific job functions that we do to accomplish this mission are:

 

  • processing applications and executing leases according to the owner’s terms and conditions
  • evicting/reprimanding poor performing tenants
  • delivering great customer service to owners, tenants, and vendors
  • maintaining high levels of quality through routine & emergency maintenance work
  • managing tenant issues
  • paying some property bills
  • setting up & working with vendors such as plumbers, landscapers
  • accepting rent payments  
  • depositing rent payments  
  • financial reporting to the owners
  • making sure that all fair housing laws are being followed
  • handling any emergency crises that come up
  • ensuring that owners get paid in a timely manner
  • and anything else legally and ethically required to maintain the property’s value

 

In conclusion, a rental property manager’s job is to manage the rental property in a way that maintains or increases the property’s material and fiscal value over time.  Successfully and consistently doing this will afford the owner the luxury of worry-free rental property ownership and financial peace of mind.  

 

Blog at WordPress.com.