Rental Housing Laws That’ll Make You Sweat

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Rental Housing Laws That’ll Make You Sweat

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Over the past few years, we’ve seen state legislators turn up the heat when it comes to proposing and passing new landlord-tenant laws and credit reporting regulations. While prior years have been focused on ban-the-box, criminal screening restrictions, and rent control, this year’s big debate is unsurprisingly how to deal with COVID-19 related unpaid rent and looming widespread evictions. To prepare for the worst, we’ve rounded up this year’s spiciest rental housing bills and ranked them by how intense they could be for the industry.  Are your properties prepared for all four levels of heat?

Mild Rental Housing Legislation

Over the past few years, we’ve seen state legislators turn up the heat when it comes to proposing and passing new landlord-tenant laws and credit reporting regulations. While prior years have been focused on ban-the-box, criminal screening restrictions, and rent control, this year’s big debate is unsurprisingly how to deal with COVID-19 related unpaid rent and looming widespread evictions. To prepare for the worst, we’ve rounded up this year’s spiciest rental housing bills and ranked them by how intense they could be for the industry.  Are your properties prepared for all four levels of heat?

Mild Rental Housing Legislation

With every legislative session, at least one state proposes laws that make minor changes to your day-to-day operations, and 2020 is no exception. These are the laws that might be slightly annoying to implement, but ultimately are basic and routine. In Idaho, HB 594 passed requiring landlords and property managers to serve a 30-day notice for any rent increase or non-lease renewal. In Maryland, source of income discrimination is strictly prohibited – which might make denying unemployment income tricky. Finally, Georgia passed a law forcing to owners execute of a writ of possession within 30 days or else have to apply for a new one. Not too bad, right?

With every legislative session, at least one state proposes laws that make minor changes to your day-to-day operations, and 2020 is no exception. These are the laws that might be slightly annoying to implement, but ultimately are basic and routine. In Idaho, HB 594 passed requiring landlords and property managers to serve a 30-day notice for any rent increase or non-lease renewal. In Maryland, source of income discrimination is strictly prohibited – which might make denying unemployment income tricky. Finally, Georgia passed a law forcing to owners execute of a writ of possession within 30 days or else have to apply for a new one. Not too bad, right?

Medium Rental Housing Legislation

Turning up the heat a bit, these bills are more than annoying – they’re unpredictable. While many states’ eviction moratoriums are set to expire in August and September (we’re looking at you, Illinois, California, and New York), it’s possible that the moratoriums could be extended. Need to collect on unpaid rent? Although payment plans are pretty standard in the age of COVID-19, Virginia has two bills seeking to require a payment plan is extended within the nonpayment written notice. The main difference with these bills is that one requires proof of financial hardship due to the pandemic and the other doesn’t. But, both still hold the renter responsible for the full, unpaid rental amount so these bills aren’t too spicy.

Hot Rental Housing Legislation

Medium Rental Housing Legislation

Turning up the heat a bit, these bills are more than annoying – they’re unpredictable. While many states’ eviction moratoriums are set to expire in August and September (we’re looking at you, Illinois, California, and New York), it’s possible that the moratoriums could be extended. Need to collect on unpaid rent? Although payment plans are pretty standard in the age of COVID-19, Virginia has two bills seeking to require a payment plan is extended within the nonpayment written notice. The main difference with these bills is that one requires proof of financial hardship due to the pandemic and the other doesn’t. But, both still hold the renter responsible for the full, unpaid rental amount so these bills aren’t too spicy.

Hot Rental Housing Legislation

With these rental housing bills, the industry will really start to feel the heat. Bills like Missouri’s HB 69 and New Jersey’s S 2340 will (among other things) make evictions an even thinner legal tightrope by prohibiting non-essential evictions. Non-essential evictions include nonpayment of rent, evictions due to foreclosure, or no-fault/no-cause evictions. As for eviction records, in Massachusetts H 4934 could affect your tenant screening through eviction court record sealing. Legislation out of New York is pitching a public eviction database, complete with the landlord’s name, property address, and reason for eviction.

With these rental housing bills, the industry will really start to feel the heat. Bills like Missouri’s HB 69 and New Jersey’s S 2340 will (among other things) make evictions an even thinner legal tightrope by prohibiting non-essential evictions. Non-essential evictions include nonpayment of rent, evictions due to foreclosure, or no-fault/no-cause evictions. As for eviction records, in Massachusetts H 4934 could affect your tenant screening through eviction court record sealing. Legislation out of New York is pitching a public eviction database, complete with the landlord’s name, property address, and reason for eviction.

Hellish Rental Housing Legislation

Every state has proposed their own solutions to the potential eviction tsunami, and these bills are 2020’s Carolina Reapers. The first bill that’ll make your face go red is New York’s S 8802, which would suspend the tenant’s obligation to pay rent until 90 days after New York’s state of emergency has ended (who knows when that’ll be). On the bright side, S 8802 has provisions that would allow rental housing owners to apply for assistance payments to recoup some lost income.

Last but not least, California’s spiciest bill to date is AB 1436. This bill would force rental property owners to defer rental payments until 90 days after the state of emergency ends or April 1, 2021. Collecting rental debt would also be further delayed until 15 months after the state of emergency or April 1, 2022. Pair both these bills with stricter eviction requirements and who knows what the rental housing industry will look like in these states.

Want to see how spicy your state’s legislation is? Check out our full legislative update for free and subscribe to our blog for future updates.

Hellish Rental Housing Legislation

Every state has proposed their own solutions to the potential eviction tsunami, and these bills are 2020’s Carolina Reapers. The first bill that’ll make your face go red is New York’s S 8802, which would suspend the tenant’s obligation to pay rent until 90 days after New York’s state of emergency has ended (who knows when that’ll be). On the bright side, S 8802 has provisions that would allow rental housing owners to apply for assistance payments to recoup some lost income.

Last but not least, California’s spiciest bill to date is AB 1436. This bill would force rental property owners to defer rental payments until 90 days after the state of emergency ends or April 1, 2021. Collecting rental debt would also be further delayed until 15 months after the state of emergency or April 1, 2022. Pair both these bills with stricter eviction requirements and who knows what the rental housing industry will look like in these states.

Want to see how spicy your state’s legislation is? Check out our full legislative update for free and subscribe to our blog for future updates.

What spice level is your state’s rental housing legislation at?

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The nation’s most trusted tenant screening for real estate agents, landlords, and property managers. No cost background checks available 24/7.

©2018 ApplyConnect. All rights reserved

ApplyConnect marks used herein are trademarks or registered trademarks of applyconnect.com. Other product and company names mentioned herein are the property of their respective owners.