Rental Housing Journal Valley April 2016

8
Circulated to over 6,000 apartment owners, on-site and maintenance personnel monthly. Call 503-221-1260 for more information Advertise in Rental Housing Journal Valley 2. Window Film – How Its Proper Use Can Help You Save Money WWW.RENTALHOUSINGJOURNAL.COM • PROFESSIONAL PUBLISHING, INC Rental Housing Journal Valley April 2016 EUGENE · SALEM ·ALBANY · CORVALLIS continued on page 6 continued on page 4 continued on page 4 3. Multifamily Landlords Win Some/ Lose Some in the Short 2016 Legislative Session T here are countless ways to make your rental properties more energy efficient. High efficiency applianc- es, high efficiency heating and cooling sys- tems, solar, the list goes on and on. Most of you probably did not purchase investment real estate with the intent of saving the planet. One big question that you need to ask yourself when making your property greener is “How is this going to make me more green ($)?” Any money that is spent improving your property should increase the overall value or lower your monthly expenses or both. Are You Investing in Real Estate to Go Green or to Make Green? Attract Tenants with Simple Eco-Friendly Upgrades T he multifamily housing industry is expected by many to continue growing throughout the year, which means strategic upgrades to your proper- ty can help prepare you for increased de- mand and set you apart from competitors. By Scott Matthews, Director, Strategic Accounts, e Home Depot Approximately 65 percent of renters consider energy-efficient features when deciding what apartments to rent, ac- cording to e Center for Climate and Energy Solutions. ese upgrades will also cut operational costs associated with water usage, heating, cooling and other energy, helping both you and your resi- dents save money. Consider these simple, eco-friendly up- grades before the summer season begins. 5. Common Tenant Complaints and How to Handle Them HUD Seeks to End Discrimination Against Tenants with Criminal Records By Evan L. Loeffler T he U.S. Department of Housing and Urban Development (HUD) published guidelines in April, 2016, for the proper consideration of applicants’ criminal records when considering them for housing. HUD notes that because a disproportionate amount of people with criminal records are minorities, a blanket policy of refusing to rent to anyone with a criminal history may violate the Fair Housing Act. Much like the 1991 HUD memoran- dum regarding occupancy standards (the “Keating Memo”) this new document provides general guidance for how to consider whether a housing policy vio- lates federal law. e memo is not law in itself, but it interprets how the law may apply to certain situations. As with any new guideline, the legal ramifications will develop on a case-by-case basis as matters are heard in court and the guidance is considered. According to the new guidelines, turn- ing down tenants solely based on their criminal history may violate the Fair Housing Act. While the Act does not list people with criminal records as a protect- ed class, HUD notes that minorities have disproportionately high rate of arrests and convictions. For this reason, while in some cases a landlord may refuse to rent to a party with a criminal record, the pol- icy should not be applied automatically without further consideration. Professional Publishing Inc., PO Box 6244 Beaverton, OR 97007 PRSRT STD US Postage PAID Portland, OR Permit #5460

description

Rental Housing Journal is the business journal for Oregon's Willamette Valley rental housing and multi-family property management industry.

Transcript of Rental Housing Journal Valley April 2016

Page 1: Rental Housing Journal Valley April 2016

Circulated to over 6,000 apartment owners, on-site and maintenance

personnel monthly.

Call 503-221-1260 for more information

Advertise in Rental Housing Journal Valley

2. Window Film – How Its Proper Use Can Help You Save Money

WWW.RENTALHOUSINGJOURNAL.COM • PROFESSIONAL PUBLISHING, INC

Rental Housing Journal Valley April 2016

EUGENE · SALEM ·ALBANY · CORVALLIS

continued on page 6continued on page 4

continued on page 4

3. Multifamily Landlords Win Some/Lose Some in the Short 2016 Legislative Session

There are countless ways to make your rental properties more energy effi cient. High effi ciency applianc-

es, high effi ciency heating and cooling sys-tems, solar, the list goes on and on. Most of you probably did not purchase investment real estate with the intent of saving the planet. One big question that you need to ask yourself when making your property greener is “How is this going to make me more green ($)?” Any money that is spent improving your property should increase the overall value or lower your monthly expenses or both.

Are You Investing in Real Estate to Go Green or to Make Green?

Attract Tenants with Simple Eco-Friendly Upgrades

The multifamily housing industry is expected by many to continue growing throughout the year, which

means strategic upgrades to your proper-ty can help prepare you for increased de-mand and set you apart from competitors.

By Scott Matthews, Director, Strategic Accounts, Th e Home Depot

Approximately 65 percent of renters consider energy-effi cient features when deciding what apartments to rent, ac-cording to Th e Center for Climate and Energy Solutions. Th ese upgrades will also cut operational costs associated with

water usage, heating, cooling and other energy, helping both you and your resi-dents save money.

Consider these simple, eco-friendly up-grades before the summer season begins.

5. Common Tenant Complaints and How to Handle Them

HUD Seeks to End Discrimination

Against Tenants with

Criminal Records

By Evan L. Loeffl er

The U.S. Department of Housing and Urban Development (HUD) published guidelines in April, 2016,

for the proper consideration of applicants’ criminal records when considering them for housing. HUD notes that because a disproportionate amount of people with criminal records are minorities, a blanket policy of refusing to rent to anyone with a criminal history may violate the Fair Housing Act.

Much like the 1991 HUD memoran-dum regarding occupancy standards (the “Keating Memo”) this new document provides general guidance for how to consider whether a housing policy vio-lates federal law. Th e memo is not law in itself, but it interprets how the law may apply to certain situations. As with any new guideline, the legal ramifi cations will develop on a case-by-case basis as matters are heard in court and the guidance is considered.

According to the new guidelines, turn-ing down tenants solely based on their criminal history may violate the Fair Housing Act. While the Act does not list people with criminal records as a protect-ed class, HUD notes that minorities have disproportionately high rate of arrests and convictions. For this reason, while in some cases a landlord may refuse to rent to a party with a criminal record, the pol-icy should not be applied automatically without further consideration.

Professional Publishing Inc.,PO Box 6244Beaverton, OR 97007

PRSRT STDUS Postage

PAIDPortland, ORPermit #5460

Page 2: Rental Housing Journal Valley April 2016

MID WILLAMETTE VALLEYAPARTMENT SPECIALISTS

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Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Window FilmHow its proper use can help you make money.

It’s somewhat of a secret that window film has more than one application. If used correctly and installed by a pro-

fessional, window film can deliver huge savings to building owners, especially in warmer climates.

Over ten years ago we purchased a small office building to move our business into. We moved in March, and as spring tran-sitioned into summer and the sun came out more often, our space started heating up. The air conditioning system (about 6 rooftop and ground based split units), could not handle the load and labored to cool down the building. The employees complained about the heat, and the high electric bill added insult to injury.

Installing new HVAC units would have been very expensive and the roof was not designed to support the additional weight. We looked for another answer and found one at the booth of a window film vendor during a vendor open house hosted by the Institute for Real Estate Management.

Their display was very simple. It con-sisted of a piece of glass with window film on one half of the glass. A heat lamp was positioned on one side of the glass and two thermometers were positioned on the other side, one parallel to the clear glass and the other one next to the glass cov-ered in the film. It became clear in a mo-ment that the window film reduced the heat load significantly.

By Cliff Hockley, President, Bluestone & Hockley Real Estate Services

According to tests conducted by win-dow film manufacturers, the film reduces heat loads from 25 to 85 percent. (Results vary depending on manufacturer and type of film; research products carefully

to identify the best film for your need.) The location of the window film is also

a factor. Installing film on windows that face east, south and west are typically more effective than on the shady north

side of a building, and if your building is already well shaded, window film may not help at all.

continued on page 7

Page 3: Rental Housing Journal Valley April 2016

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In honor of National Fair Housing Month | April 2016

We Are Fair Housing

16083 SW Upper Boones Ferry Road, Suite 105, Tigard, OR 97224 | ph: 503-213-1281 email: [email protected]

WE, as housing providers to the people of Oregon, pledge the following:

1. To provide equal opportunities for rental housing to Oregon residents without regard to race, color, religion, national origin, sex, familial status, disability, source of income, marital status, sexual orientation, gender identity, or victims of domestic violence.

2. To be open and transparent in all our practices, investigations, and other activities related to fair housing laws.

3. To provide ongoing training and education in fair housing best practices to all our employees.

4. To address all fair housing complaints and, if fair housing laws are broken, to hold violators accountable.

5. To uphold all fair housing laws as our legal and moral obligation to all Oregonians.

Signed,

The Board of Directors of Multifamily NW representing Cascade Management, Tokola Properties, Greystar, Mainlander Property Management, Quantum Residential, American Property Management, Background Investigations, Bittner & Hahs, Capital Property Management, Guardian Real Estate Services, Home Forward, Income Property Management, Interstate Roofing, Kennedy Restoration, Princeton Property Management, Sterling Management Group, WPL Associates.

This fair housing pledge represents a public commitment from management companies and housing providers that manage or own approximately 160,000 multifamily units or homes in Oregon. To learn more about our pledge and fair housing laws, please visit out website at multifamilynw.org.

3

Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Multifamily Landlords Win Some/Lose Some In Th e Short

2016 Legislative SessionBy Cliff ord A. Hockley, President, Bluestone & Hockley Real Estate Services

continued on page 6

In the short spring Oregon legislative session of 2016, landlords were sur-prised by HB 4001, a bill introduced

by tenant advocates.

HB 4001:• Matched Portland’s 90 day rent in-

crease notice requirement (and the reasons for the increase) and added the requirement that a 90 day notice be given for termination of tenancy aft er the fi rst year of occupancy.

• Required that landlords pay the tenant relocation assistance of one month’s rent at the delivery of the ter-mination notice.

• Created the presumption of retaliatory actions between landlord and tenant within 6 months aft er a tenant’s report regarding maintenance.

• Added new language regarding un-reasonable harassment of a tenant by a landlord.

Landlord advocates were able to stop the bill in the Oregon State Senate, but they had to agree to the following con-cessions in a similar bill, HB 4143. HB 4143 was passed and will become eff ec-tive April 14, 2016.

HB 4143:• Rent increase notices for week to week

tenancies must be received at least sev-en days prior to the eff ective date of the lease.

• Landlords may not increase the rent in the fi rst year of month to month tenan-cies, or at any time aft er the fi rst year of the tenancy without giving at least 90 days written notice to a tenant. (Re-member to add mailing time).

· Th is applies to any rent increase and eff ectively overrules the city of Port-land ordinance that called for 90 day notices only for rent increases over 5%.

· Notices must specify the amount of the rent increase; the amount of the new rent; and the date the increase becomes eff ective.

• Th e statute does not address rent in-creases for the renewal of fi xed term tenancies, such as a one year lease.

In light of these new requirements, at-torneys for Multifamily NW believe:

• If the increase is built into the existing lease no specifi c additional notice of rent increase is required.

• If you would like to raise the rent on a tenant who did not sign a renewal and you expect the lease to turn into a month to month agreement then you will want to give the tenants a 90 day notice (plus mailing time) to have the rent increase occur at the same time that the lease rolls into a month to month agreement.

• If you fail to plan ahead and the lease turns into a month to month agree-ment then you are stuck with the exist-ing rent for one year aft er the conver-sion to a month to month agreement.

• Th e terms of a fi xed term tenancy, in-cluding the amount of rent, may not be unilaterally amended by the landlord or tenant.

Other items amended with HB 4143 include:

• Notices and penalties for smoking: Fees may be assessed for smoking in a clear-ly designated nonsmoking unit or area of the premises. Th e fee for a second or any subsequent noncompliance may not exceed $250. A landlord may not assess this fee before 24 hours aft er the required warning notice to the tenant.

• Th e legislature also fi xed a small prob-lem that occurred with new rules re-garding changes for emergency ex-its in apartments established in the 2015 session.

· In ORS 90.460(2), it removed the language requiring a landlord to pro-vide at all times during the tenancy “a route of exit from a bedroom, other than the main entrance to the bed-room, for use during an emergency.”

· Th e language now requires the land-lord to provide “a route or routes of exit from each bedroom and, if required, a secondary route of exit from each bedroom, for use during an emergency. Th e routes of exit must conform to applicable law in eff ect at the time of occupancy of the building or in eff ect aft er a renova-tion or change of use of the building, whichever is later.”

Th is change helped landlords who had permits for legal bedrooms that may not have had an immediate outside exit, and whose design had been approved by building offi cials.

Page 4: Rental Housing Journal Valley April 2016

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CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________

ADDRESS: ________________________________________________UNIT: ______________

CITY: ___________________________________ STATE: ________ ZIP: _________________ellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (G)Good (F)Fair (P)Poor

Rating Scale = (E)Exc (G)Good (F)Fair (P)Poor

Rating Scale = (E)Exc

P)Poor

Rating Scale = (E)Excellent (VG) Very GoodP)Poor

Rating Scale = (E)Excellent (VG) Very GoodP)Poor

Rating Scale = (E)Excellent (VG) Very GoodP)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor

In OutBEDROOM 3

Blinds/Drapes

Light Fixtures

Doors/Woodwork

Locks

Ceilings

Electric OutletsElectrical Outlets

Smoke DetectorsGarbage Cans

TV Antenna/Cable

BATH ROOMFireplace

Towel BarsCleanliness

Sink & Vanity

ToiletBEDROOM 1

BEDROOM 2Tub/Shower

Walls

Walls

Fan (Exhaust)Windows

WindowsFloor

Blinds/DrapesBlinds/Drapes

Electric OutletsRods

Rods

Light FixturesFloor

FloorLight Fixtures

Light FixturesEssential ServicesEssential Services

Doors/WoodworkDoors/Woodwork

PlumbingLocks

Locks

HeatingCeilings

CeilingsElectricity

Electrical OutletsElectric Outlets

Hot WaterSmoke Detectors

Smoke DetectorsSmoke Detectors

WA-RTG-20 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

TENANT(S): __________________________________________________________________

ADDRESS: ________________________________________________UNIT: ______________

CITY: ___________________________________ STATE: ________ ZIP: _________________P)Poor

BEDROOM 3

Blinds/Drapes

Light Fixtures

Doors/Woodwork

Electric Outlets

Smoke Detectors

TENANT(S): ____________________________________________________ DATE:________

ADDRESS: ____________________________________________________ UNIT: _________

CITY: _________________________________________ STATE: __________ ZIP: _________

Pursuant to RCW 59.18.150, this is your 48 hour notice that your landlord or their agents will be

entering the dwelling unit and premises located at (Address)______________________________________________________________________________on between the hours of and . (Date) (Time) (Time)The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________

Landlord Phone

Method of Service: Personal Service: Post and Mail: ** Add one additional day for compliance if served by post and mail.

WA-RTG-40 Washington

©2009 NO PORTION of this form may be reproduced without written permission.

TENANT(S): ____________________________________________________ DADDRESS: ____________________________________________________ UCITY: _________________________________________ STATE: __________

Pursuant to RCW 59.18.150, this is your 48 hour notice that your laentering the dwelling unit and premises located at (Address)______________________________________________________________________________ between the hours of (Date) (Time)

The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________ Landlord Phone

Method of Service: Personal Service: Post and Mail:* Add one additional day for compliance if served by post and m

TENANT(S): ____________________________________________________ DADDRESS: ____________________________________________________ UCITY: _________________________________________ STATE: __________

Pursuant to RCW 59.18.150, this is your 48 hour notice that your laentering the dwelling unit and premises located at (Address)______________________________________________________________________________ between the hours of (Date) (Time)

The entry will occur for the following purpose:______________________________________________________________________________

______________________________________________________________________________ Landlord Phone

Method of Service: Personal Service:

* Add one additional day for compliance if served by post and m

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________ADDRESS: ________________________________________________UNIT: ______________CITY: ___________________________________ STATE: ________ ZIP: _________________Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor Rating Scale = (E)Excellent (VG) Very Good (G)Good (F)Fair (P)Poor IN Out In Out In OutLIVING AREAS KITCHEN BEDROOM 3Walls Walls Walls

Stove/Racks WindowsRefrigerator Blinds/DrapesIce Trays RodsShelves/Drawer FloorDisposal Light FixturesDishwasher Doors/WoodworkCounter Tops LocksCabinets CeilingsSink Electric OutletsFloor

Windows

Blinds/Drapes BATH ROOMTowel BarsCleanlinessSink & Vanity

ToiletBEDROOM 1 BEDROOM 2 Tub/ShowerWalls Walls Fan (Exhaust)Windows Windows FloorBlinds/Drapes Blinds/Drapes Electric OutletsRods Rods Light FixturesFloor FloorLight Fixtures Light Fixtures Essential ServicesEssential ServicesDoors/Woodwork Doors/Woodwork PlumbingLocks Locks HeatingCeilings Ceilings ElectricityElectrical Outlets Electric Outlets Hot Water

Smoke Detectors

OR-RTG-20 Oregon

©2011 NO PORTION of this form may be reproduced without written permission.

CHECK-IN/CHECK-OUT CONDITION REPORTTENANT(S): __________________________________________________________________ADDRESS: ________________________________________________UNIT: ______________CITY: ___________________________________ STATE: ________ ZIP: _____________Rating Scale = (E)Excellent (V(E)Excellent (V(E)Excellent (V(E)Excellent (V(E)Excellent (VG) Very Good (G)Good (F)FG) Very Good (G)Good (F)FG) Very Good (G)Good (F)FG) Very Good (G)Good (F)F

IN OutLIVING AREAS KITCHENWalls Walls

Stove/Racks

Refrigerator

Ice Trays

Shelves/Drawer

Disposal

Dishwasher

Counter Tops

Cabinets

Sink

Floor

Windows

Blinds/Drapes

PET AGREEMENTTENANT INFORMATION

TENANT(S): ____________________________________________________ DATE:________ADDRESS: ____________________________________________________ UNIT: _________CITY: _________________________________________ STATE: __________ ZIP: _________

DESCRIPTION OF PET(S)

1) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

2) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

3) Type _______________ Breed _______________ Size ______ Age __ Weight ___ Color ____ Name ________ Vaccinations: Yes____ No____ License Number: ______________

Additional Security Deposit Required:$

AGREEMENTTenant(s) certify that the above pet(s) are the only pet(s) on the premises. Tenant(s) understands that the additional pet(s) are not permitted unless the landlord gives tenant(s) written permission. Tenant(s) agree to keep the above-listed pets in the premises subject to the following terms and conditions:

1) The pet(s) shall be on a leash or otherwise under tenant’s control when it is outside the tenant’s dwelling unit. 2) Tenant(s) shall promptly pick up all pet waste from the premises promptly. 3) Tenant(s) are responsible for the conduct of their pet(s) at all times. 4) Tenant(s) are liable for all damages caused by their pet(s). 5) Tenant(s) shall pay the additional security deposit listed above and/or their rental agreement as a condition to keeping the pet(s) listed above. 6) Tenant(s) shall not allow their pets to cause any sort of disturbance or injury to the other tenants, guests, landlord or any other persons lawfully on the premises. 7) Tenant(s) shall immediately report to landlord any type of damage or injury caused by their pet. 8) This agreement is incorporated into and shall become part of the rental agreement exe -cuted between the parties. Failure by tenant to comply with any part of this agreement shall constitute a material breach of the rental agreement.

_____________________________ ______________________________Landlord Tenant ______________________________ Tenant

OR-RTG-24 Oregon

©2011 NO PORTION of this form may be reproduced without written permission.

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4

Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Are you looking to increase the value of your property? According to a repu-table local appraiser there are very few green upgrades that will increase the val-ue of the property itself. “Vinyl windows may be one of the best upgrades you can make,” said the appraiser “tenants like them because it saves money on heating. Plus it will add to the appraised value.” I asked her to what level solar panels, tank-less water heaters, and high effi ciency fur-naces add to the value of real estate. Her answer was “none”. Every buyer expects appliances, furnaces, and water heaters to be in working order. It does not mat-ter if they are high effi ciency as long as they work.

Appliances and heating/cooling sys-tems may not add value to your property at sale but may add value to your bottom line. Th e potential savings on owner paid utilities such as gas, electric, and water/sewer might make some “green” upgrades worth the investment. As a landlord you should consider investing in upgrades that either make or save you money. If you are paying the utility bill for units being heated during Oregon winters, putting in a high effi ciency furnace might be a good long term investment for you. If you do not pay for the utilities, you will be spend-ing money on upgrades that will only save tenants’ money unless you plan on pass-ing that expense on to the tenant in the form of a rent increase or utility bill back.

Most small plexes are not separate-ly metered for water and sewer and the owner is likely responsible for the water/sewer bill. If that is the case making small changes like low fl ow toilets, low fl ow shower heads, and low fl ow faucet aera-tors could save you a substantial amount of expense on your water bill over time. Another consideration is low mainte-

nance landscaping. Grass may look good but does come with added upkeep. Look at your annual landscape expense for the last few years. You may fi nd that lower maintenance landscaping which consists of native plants, shrubs, and trees will save you money over time.

Th ink about your short and long term fi nancial goals and ask yourself if making “green” improvements to your properties is putting more “green” into your pocket.

Chris is Small Plex Broker at SMI Commercial Real Estate, LLC . Please con-tact Chris if you would be interested in receiv-ing SMI’s free bi-annual newsletter which in-cludes the most compre-hensive rent and vacancy survey in the mid-valley, the SMI Apartment Up-date. 503.390.6060. [email protected]

Go Green or Make Green ...continued from page 1HUD Seeks to End Discrimination ...continued from page 1

Th e guidelines note that there is a dif-ference between an arrest and a convic-tion. An arrest may occur if a police of-fi cer forms the belief that someone needs to be detained for their own safety, for the safety of others, or for the investigation of a crime. A conviction may occur only aft er a party has been formally charged with a crime and had an opportunity to defend himself or herself in a court of law. A judge or a jury must determine that it is beyond a reasonable doubt that the indi-vidual committed the crime. Both arrests and convictions may appear on a crimi-nal history.

HUD takes the position that a policy of excluding individuals because of a prior arrest without a conviction is discrimi-natory. Quoting the U.S. Supreme Court, HUD states, “[t]he mere fact that a man has been arrested has very little, if any, probative value in showing that he has engaged in any misconduct.” In other words, an arrest is not, by itself, proof of a crime. A housing provider who categor-ically denies housing to a person because of an arrest on their record violates the Fair Housing Act.

Convictions, on the other hand, are diff erent. HUD states in the memo, “In most instances, a record of conviction (as opposed to an arrest) will serve as suffi -cient evidence to prove that an individual engaged in criminal conduct.” Even so, a blanket policy of excluding all people with a criminal conviction probably vio-lates the Fair Housing Act. Th e landlord with a policy of excluding applicants with a criminal history must be able to point to a “substantial, legitimate, nondiscrim-inatory interest” served by the policy. Th e landlord must also be able to prove that the policy achieves those goals. A housing policy must take into consideration the nature and severity of the crime, and the amount of time that has passed since the criminal conduct occurred

Whether the discrimination is acciden-tal or intentional, during screening or just at the inquiry stage, the landlord or prop-erty manager is still at risk of a discrimi-nation lawsuit. Th e best practices are:

• Do not impose blanket bans on rent-ing to those with criminal history or arrest records.

• If there is evidence of a conviction, consider the nature and severity of the crime and how long ago the criminal conduct took place.

• Ensure everyone who interacts with applicants is trained well on current Fair Housing policies.

• Keep screening policies pertaining to arrest records and criminal history specifi cally related to safety of persons and property. Th e policy must distin-guish between criminal conduct that indicates a demonstrable risk to resi-dent safety and property and criminal conduct that does not.

• Obtain and use a standard screening policy in compliance with Fair Hous-ing and HUD regulations, and apply it equally to anyone who applies. You may want to consult an attorney or housing specialist to develop a rental criteria relating to criminal conduct.

Keep in mind that HUD has not stat-ed that criminals are a protected class. HUD recognizes that housing providers have an interest in providing safe housing to all their tenants. Th ese new guidelines do not require landlords to rent to con-victed felons, but do require landlords to examine the criminal history (if any) of its applicants with more care than before. Naturally, there will be applicants who refuse to provide details about their crim-inal history or provide inaccurate infor-mation revealed by a screening company. An incomplete or inaccurate application may be denied.

Following best practices will save you thousands of dollars in litigation and court costs, so it is well worth the eff ort. If in doubt about a policy, contact your le-gal resource for help dealing with tricky questions related to this new HUD guid-ance and the Fair Housing Act.

Evan L. Loeffl er is the principal attorney at the Loeffl er Law Group PLLC in Seattle, Washington. His fi rm’s practice emphasizes landlord-tenant relations. www.loeffl erlawgroup.com

Page 5: Rental Housing Journal Valley April 2016

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Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Being a landlord inevitably in-cludes dealing with tenant com-plaints. Managing those complaints

promptly and eff ectively is essential for your relationships with the tenants, the security of your property and last but not least – for your landlord’s reputation. If you approach the problems in a profes-sional manner, you are defi nitely going to lessen the chance of some legal issues as well.

Here are the 4 most common tenant complaints and a few useful tips on how to deal with them. Some of them can occur during the tenancy period, but others you can easily foresee and handle in advance.

The property is not clean enoughAbsolutely no tenant will be pleased by

the thought that they will have to start

cleaning the property from the very sec-ond they move in. In fact, few people will be willing to rent a place where domestic cleaning hasn’t been done since forever. So it is a great idea for you to give your rental property a good cleaning before the new tenants come and avoid starting your relationship making the wrong impres-sion. In case you are not capable of tak-ing proper care of the hygiene, maybe you should hire a professional cleaning com-pany at least a week before the scheduled moving day. Make sure no stains and dust will greet your tenants as they go through the door.

Something does not work properlyAppliances and facilities just stop

working sometimes; it happens no matter that no one wants it. Test all domestic ap-

pliances in advance to prevent complaints from your new tenants. In case the same person has been renting your property for a certain period of time, make sure you respond immediately to their signal. A clogged sink or an oven which cannot heat may be or not be your tenant’s fault, but you have to handle the matter in both cases. Check the issue as quickly as you can and make an appointment with an expert if you are not capable of dealing with the problem by yourself. Warn the renter when to expect a plumber for ex-ample and pay for the service. You can fi gure out who is fi nancially responsible aft er the specialist has done their job and things are under control again.

Pest complaintsRegardless of how clean the tenant

keeps your property, unfortunately pests can always invade it due to many reasons other than irregular cleaning. If the adja-cent apartments, for example, have been infested with mice or bugs, this can turn out to be a great problem. As a decent landlord, you should react immediately to such complaints. Th e best thing you can do when it comes to pest control is to hire an exterminator to handle the pests in your property. It will be wise of you to schedule a second appointment aft er 7 – 10 days and thus ensure the safety of both your property and tenants.

Inoperative keysIf you are not a fi rst-time landlord, you

should not at all be surprised by such a complaint from your tenants. Keep an ex-tra set of keys at your disposal for emer-gency situations. Should you fi nd that the lock is hard to open, it would be wise to change it as soon as possible or you may have to change the whole door if some-

body gets locked inside eventually. Buy-ing an installing a new lock promptly will make things much easier for you and your tenants. Do not forget to change the locks every time when a tenant ends your con-tract is an additional security measure.

Doing your best to help your tenants will always be appreciated, so do not hide when they complain about something. Aft er all, renting a property is a kind of a job and you will have to do it well if you want to get your rent on time.

Common Tenant Complaints and How to Handle Th em

Page 6: Rental Housing Journal Valley April 2016

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Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Eco-Friendly Upgrades ...continued from page 1Save Energy

Seal and insulate: Sealing gaps and cracks will help keep money in renters’ pockets. Maintenance can start by prop-erly insulating needed areas around win-dows and doors. Seal cracks and gaps with caulk, spray foam and weather stripping. This simple project can reduce energy bills by up to 30 percent and ensure that air remains inside the units.

Upgrade thermostats: Allow residents to moderate electricity and gas usage by upgrading to programmable and / or Wi-Fi-enabled thermostats. The thermostat can adjust to their schedule manually or automatically through a convenient app on their smartphone. Tenants will save an average of 10 to 12 percent on heating and 15 percent on cooling bills, and you may be able to offset part of your investment by taking advantage of rebates.

Switch to LEDs: Increase savings eas-ily by converting to LED lighting, which uses approximately 84 percent less ener-gy than incandescent bulbs and lasts 25 times longer. Install LED lighting in in-terior fixtures, pathways, hallways and parking garages. Also consider decorative LED options for communal areas. LED technology is integrated in a variety of lightbulbs and fixtures, allowing for an easy transition and customization for the property.

Invest in HVAC: Switch to high-effi-ciency, ENERGY STAR®-certified units and reduce air-conditioning energy usage by up to 50 percent. Maintain the lon-gevity by cleaning the evaporator coils and drain channels to prevent potential clogging. These practices will reduce un-necessary wear and tear on the AC unit. Take extra steps to improve the air qual-ity for residents by having maintenance change air filters regularly, at least every 1-3 months.

Conserve WaterTend to the bathroom: Reduce water

usage by updating toilets, showerheads, faucets and additional bathroom acces-sories with WaterSense-labeled products, which are approximately 20 percent more efficient. Excessive water usage can be a sign of leaky plumbing, so inspect plumb-ing fixtures for leaks annually to avoid water damage and potentially high out-of-pocket costs.

Update water heaters: Upgrade water heaters to newer units that are compliant with more energy efficient standards that went into effect in 2015 – some of which can have the output of a 50-gallon unit with the footprint of a 30-gallon unit. This is an excellent option when hot wa-ter is needed and space is limited. Insu-late the water heater with a blanket for extra savings.

Maintain the landscaping: Maintain a green space and reduce water usage with a low-water-use landscaping or xeriscaping plan. Mulch and drought-tolerant plants, such as coneflowers, daylilies or butterfly weeds, can help reduce and / or minimize excessive watering. Adding decorative gravel and well-aerated soil will enhance a walkway or landscape bed, while also conserving water and adding nutrients to the green space. Improve water efficiency even further with smart irrigation tech-nology. Smart controllers can reduce an-nual bills as much as 15 percent by water-ing plants only when necessary.

By Scott Matthews, Director, Strategic Accounts, The Home Depot

Scott is responsible for managing national accounts and e-commerce while overseeing business-to-business relationships. During his 25 years at The Home Depot, he has served in a variety of roles and capacities, includ-ing Regional Pro Sales Manager, District Manager and Store Manager.

2016 Legislative Session ...continued from page 3

The session also included a new bill regarding inclusionary zoning, SB 1533, which originally was also included in HB 4001. Inclusionary zoning is defined as zoning that requires permanently afford-able residential units (inclusionary units) be set aside in either a new development or a substantial rehabilitation in exchange for a bonus density.

SB 1533 was a part of a ‘package deal’ of housing related bills instigated by House Speaker Kotek. The version that passed included many key incentives which earned the support of many building and development advocates.

SB1533:• Removes the preemption regarding lo-

cal control against inclusionary zoning.

• Requires 20% of the units to be afford-able to gain the benefits of inclusionary zoning.

• Applies to units that are 80% MFI or above.

• Has a number of incentives that can be offered (including tax abatement).

These were the key landlord tenant bills that passed in the 32 days of the short legislative session. Tenant advocates were very disappointed as their fight for afford-able housing and more substantial rent control appeared somewhat stymied in the Senate. Landlords beware; the tenants will be back in 2017 to fight for more help in controlling the fast increasing rents, es-pecially in the major metropolitan areas. The battle for regulated affordable hous-ing is far from over.

Unfortunately, in the fight to provide affordable housing for low income Or-egonians, laws will be passed that affect all tenants and this could hurt landlords in the future. Residential landlords must stay engaged and be involved in the up-coming local elections for Oregon Sena-tors and Representatives if they want to protect their investments.More information at: 308.WarrenAllenLLP

Page 7: Rental Housing Journal Valley April 2016

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Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016

Window Film ...continued from page 2

Of course window fi lm can be used in residential (single family and multifami-ly) applications as well. Say you wanted to renovate an apartment complex in Phoe-nix and the windows are 25 years old. Rather than buy new windows, you can use window fi lm and market the advan-tage of lower electrical bills to potential tenants. Owners of residential buildings in hot climates are responsible for main-taining the air conditioning units, so re-ducing the solar heat load with window fi lm makes a lot of sense since it relieves stress on air conditioners.

Secondary benefi ts of window fi lmAlthough reducing a building’s solar

heat intake is the primary purpose of window fi lm, it has other advantages as well. It relieves the stress and resulting wear and tear on the cooling unit, and re-duces the need for individual fans, saving energy and money. Most of these fi lms also almost completely (up to 99 percent) reject UV rays, extending the lifetime of carpeting and furniture in addition to mitigating the harmful eff ects UV rays on people. As the technology as developed, many fi lm manufacturers have marketed other dual benefi ts their product.

Security and windstorms: Th e 3M company has developed a fi lm series that will work eff ectively in wind storms of up to 185 miles per hour and will resist breaking and entering, if installed by an experienced and certifi ed installer. Th is micro layered technology is typically blast and tear resistant (see their website for examples).

Anti Graffi ti / Surface Protection Series: 3M also off ers products that are graffi ti and scratch resistant. Th ey can be either 4 or 6 millimeters thick and off er protec-tion from taggers in high risk areas by us-ing an invisible sacrifi cial layer to protect glass from acid etchings, scratches and tagging. Th is layer can also protect win-

dow surfaces from regular wear and tear.Th is product solved a recurring tagging

problem we had at a commercial building we manage in a high risk area. Vagrants had repeatedly defaced the windows us-ing keys and other materials. We re-placed the windows twice before discov-ering this window fi lm. Th at was eight years ago. Th e surface is scratch resistant and has held up well. Th ough there is evi-dence of attempts of attacks to the surface since the installation, the perpetrators eventually became frustrated by the lack of results that they stopped attacking the building altogether. If, perchance, they have some success, we can always strip off the fi lm and replace it rather than install-ing a new window.

Th e fi lm off ers the added benefi ts of heat load protection (these windows are on the south side), and privacy. Th e window fi lm is dark and refl ective which makes it diffi cult to look into the space, (preventing a thief from “casing the joint” by looking through the windows.)

Saving you moneyIn select situations, window fi lm can

be used to reduce heat load, the stress on HVAC systems, electrical bills, glare and crime. It also distributes light better in some applications. As you troubleshoot operational problems and/or attempt to reduce energy needs, consider the use of window fi lms as an economical alternative to window or cooling unit replacements.

Note: Th ere are any more uses of win-dow fi lms. In a future article we will address how window fi lms can be used decoratively or to increase privacy in the interior of buildings with glass walls.

Page 8: Rental Housing Journal Valley April 2016

IT’S JUST SMART BUSINESS

SUCCESS STORIES ABOUT MULTIFAMILY PROPERTIES

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College Housing Northwest, Portland, Oregon ”

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Rental Housing Journal Valley

Rental Housing Journal Valley · April 2016