As a landlord, you may light upon a predicament when your tenants ask to install a hot tub on your rental property. Despite the fact that it can bring about the desired tenant satisfaction and cost savings, hot tub installation has potential risks. If the hot tub malfunctions or leads to damage to the property, you may be left with costly repairs and legal disputes. Not only that, poor tenant maintenance can develop into hygiene concerns or safety hazards.
So, prior to deciding, it’s vital to take into account all the potential risks and benefits of allowing your tenants to install a hot tub. Take into consideration consulting with legal or insurance professionals to determine whether you are covered in case of any issues.
For property owners, deciding if tenants can have a hot tub is actually based on plenty of factors. There are sound reasons for allowing or not allowing it. Here are several considerations for each option:
Reasons to Allow Tenants to Have a Hot Tub:
- Attracting and Retaining Tenants: Offering amenities such as, for instance, a sauna bath can make your property more appealing to potential tenants, allowing you to charge higher rent and retain tenants for a long time.
- Increased Property Value: Installing a hot tub can increase the overall value of your property, which can be profitable if you plan to sell in the future.
- Competitive Advantage: In many different rental markets, putting up hot tubs can give your property a competitive edge over others, helping it stand out and get rented more quickly.
- Tenant Satisfaction: Tenants who take pleasure in the luxury of a hot tub may be more fulfilled with their living arrangements, which could lessen petty complaints and develop great relationships.
Reasons Not to Allow Tenants to Have a Hot Tub:
- Maintenance and Costs: Hot tubs require regular maintenance, for instance, cleaning, water treatment, and likely repairs. You may need to handle these costs or pass them on to your tenants, which could cause dismay and discourage some renters.
- Liability and Safety Concerns: Hot tubs can pose safety risks. There is a risk of accidents, injuries, or even lawsuits if someone gets hurt. You may need to spend on additional insurance coverage to protect yourself.
- Potential Property Damage: There’s a risk that the sauna bath could damage the property, like the deck or plumbing, which may mandate costly repairs.
- Local Regulations: Several local municipalities and homeowners’ associations may have regulations or restrictions on putting up and using hot tubs. It’s vital to check and adhere to any such rules.
- Increased Utility Costs: Hot tubs consume electricity and water, which bring about higher utility bills. Sort out whether you or the tenant will cover these costs.
Assume you are thinking of allowing your tenants to affix a hot tub on your property. So, there are several important considerations to take note of, for instance, ownership, the lease agreement terms, the removal and restoration process, cost responsibilities, and the approval process.
Putting in specific guidelines and rules in the lease agreement is largely recommended if you choose to permit hot tub installation. This can include principal issues such as maintenance and repair, responsibilities, and usage restrictions, which are critical to ensure the safety of your tenants and protect your property.
If you’re managing rental properties in Uniondale and would like more insight on how to write your lease agreement, the Uniondale property managers at Real Property Management Landmark can help. Contact us online or call us at 516-522-2859 today.
Originally Published on July 3, 2020
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