In the United States, there are approximately 48.5 million rental units, as reported by the 2015 American Housing Survey. Among these units, approximately 16.7 million are owned by individual investors. These individual investors typically focus on single-family homes and duplex units as part of their rental property portfolios.
Individual investors, like you, may not have the extensive property portfolios of large corporations, but they share an equal responsibility for the safety of their tenants and guests. It's crucial to understand that, as with any legal matters, seeking advice from an attorney regarding your specific situation is highly recommended before making any decisions.
To safeguard both yourself and your tenants, it's essential to have a clear understanding of a fundamental question: Under what circumstances are landlords liable for injuries sustained by their tenants?
Understanding Landlord Negligence and Tenant Rights As per Cornell Law School, negligence is legally defined as an individual's actions, or inactions, deviating from what a reasonable person would do under similar circumstances.
Although personal injury laws can differ from one state to another, the general principle remains that the court must establish whether your actions or lack of action can be classified as negligence. However, it's important to note that the burden of proof required to establish negligence isn't exceedingly high in most cases.
In the majority of personal injury cases, negligence tends to be relatively straightforward. For example, if a person drives under the influence and collides with another vehicle while going in the wrong direction, it's a clear-cut case of negligence.
However, in the realm of real estate, the dynamics can be quite different. Particularly for long-distance landlords, it's easier to overlook obvious repairs or potential hazards because you may not be physically present to assess the property's condition and identify risks.
Nonetheless, within the framework of legal negligence, if a landlord's actions or omissions directly lead to a tenant's injury, a court has the authority to hold the landlord accountable for the tenant's harm, even if the landlord had no intention of causing harm.
If you are confronted with a negligence accusation or have any particular inquiries related to your circumstances, it is advisable to reach out to an attorney and provide them with a comprehensive overview of your specific situation. Legal professionals can offer tailored guidance and counsel to address your unique concerns.
Understanding Damaging Conditions in Rental Properties
If you are entrusted with the maintenance and repair of a particular element, and an accident occurs before you have the opportunity to address it, there is a possibility that you could be held liable for the incident.
For instance, if you are aware that an aging and deteriorating walkway on your property poses a tripping hazard and an elderly guest of your tenant trips and sustains a broken hip, you could potentially be held liable for the injuries incurred.
Uncovering Hidden Dangers
Hidden dangers are those that you are aware of and recognize as potential risks, but they may not have straightforward solutions. Failing to disclose these hidden dangers to your tenant could potentially lead to liability on your part.
These Hidden Dangers May Include:
Unexpected Steps: Concealed Hazards Inside and Outside the Property.
Foundation problems.
Intermittent Basement Flooding: Potential Risks to Tenant Property and Safety.
Common Error: Mixing Up Damaging Conditions and Concealed Hazards.
It’s important to note that you can’t write everything off as a hidden danger, warn your tenant, and be done with it.
It's crucial to understand that not every concern can be labeled as a hidden danger, simply warn your tenant, and consider the matter resolved.
Take, for instance, a deck with deteriorating support beams that could lead to a potential collapse. In such cases, it's insufficient to merely advise the tenant to avoid a specific area of the deck.
In situations like these, it's imperative to promptly inform your tenant of the hazard and take immediate action to repair the damage.
Other Frequently Neglected Legal Liabilities That May Result in Financial Consequences
Liabilities Related to Pets in Rental Properties
Unreported Criminal Activities
Inadequate Railing Spacing
Water Features Liability: Pools, Ponds, and Hot Tubs in Rental Properties.
Sinkhole Awareness
Treehouses
Dying trees
Hazardous Flora: Landlord Obligations Regarding Risky Plants for Adults, Children, and Pets
For numerous landlords, the potential risks linked to specific property types or locations may outweigh the investment benefits.
While some landlords find owning properties with pools appealing due to tenant demand, others view such rentals as significant liabilities.
Understanding Comparative Fault in Landlord-Tenant Legal Matters
Personal injury negligence laws can vary from one state to another, but the majority of states acknowledge some variation of comparative negligence, also known as comparative fault.
Make sure to review the specific guidelines applicable in your state.
In accordance with Alllaw.com, negligence is typically viewed as a percentage, implying that both you and the injured party may share a portion of the negligence.
The greater the share of negligence attributed to you, the higher the potential liability you may have to bear in the event of an accident.
In situations where the tenant bears a greater responsibility than the landlord, certain courts may refrain from awarding any monetary compensation to the tenant. However, it's important to note that in most cases, courts typically order a proportional award based on the level of responsibility of each party involved.
Is the Role of a Landlord Worth the Investment and Risk?
While being a landlord can offer significant rewards, it also carries substantial risks. It's crucial to carefully evaluate these risks before finding yourself in a legal dispute.
It's possible that you're discovering the cost of bringing the property up to safety standards is prohibitive. Alternatively, you might not be inclined to assume the associated risks and liabilities.
Even if you have existing tenants, we extend an invitation for you to consider selling to HomeGo. Our team of licensed real estate agents is available to conduct a quick property evaluation and provide you with a cash offer on the very same day.
There's no need to wait until unforeseen challenges arise. We streamline the process of selling an underperforming rental property to make it fast and straightforward for you.
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