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With an average rent rate of $2,900, Massachusetts could be an appealing place to invest in your next rental property. However, as with anything, you need to do the proper research into what will be expected from you as a landlord in this state. Below are some of the most important things that landlords should consider when investing about Law in Massachusetts.
Evictions
When evicting a tenant, it’s important to be sure that you aren’t violating any eviction laws in your state. Evicting someone is a serious action to take. Moreover, you should make sure that it’s warranted and that you follow the legal eviction process.
Each state has different requirements for the eviction notices you need to issue. In the case of demanding rent in Massachusetts. The tenant has 14 days to pay what they owe before the landlord can file for eviction (you must send a 14-day pay-or-quit notice). If the tenant violates the lease for reasons besides nonpayment. Such as a lease violation for noise. You’ll still need to send a notice, but the rental agreement should state the number of days the tenant has to comply. Tenant Screening
Tenant screening is the only way to ensure you’re getting quality tenants that will pay rent on time and treat your property with respect. However, you need to make sure you aren’t acting on any preexisting biases while screening tenants. According to the Federal Fair Housing Act, landlords cannot discriminate against tenants based on race, color, sex. Moreover, disability, national origin, familial status, or religion. Massachusetts fair housing law adds sexual orientation, gender identity, age, ancestry, genetic information. As well as, marital status, veteran/military status, and source of income.
Security Deposits
Massachusetts security deposit law dictates the rules and regulations for landlords when charging and returning their tenants’ security deposits. Landlords are limited to charging one month’s rent for the deposit, and if the tenancy exceeds one year, you must pay interest on that amount at a rate of 5% a year or the percent received from the bank.
Landlords can withhold funds from the tenant’s security deposit for unpaid fees like rent or water charges, or for damage beyond normal wear and tear. They can also withhold funds for an increase in real estate taxes.
Rent and Fees
Landlord tenant laws in Massachusetts outline a few different rules for charging rent and fees. Making application fees illegal is a law that’s specific to Massachusetts, so make sure you pay close attention to it when housing tenants.
There also is no statewide rent control, and there are no limits on late fees. However, you must explicitly mention whatever you choose to charge for the late fee in the lease agreement.
Grace periods in Massachusetts are 30 days. This means that landlords cannot charge a penalty on late rent until rent is over 30 days late. However, the eviction process can begin immediately after the rental due date.
If a landlord does not keep up with obligations outlined in the lease, the tenant has the option to withhold rent and dispute any notices the landlord may file for nonpayment of rent. If the tenant needs to remedy a condition the landlord is neglecting, they can withhold the reasonable amount to fix that issue. Also, they can recover the difference between their rent payment and the fair value of the property.
Conclusion
Investing in a new rental property can be daunting, and since each state has their own rules and regulations. It can get confusing figuring out what you should and shouldn’t do as a landlord. Use the above information as a guide to help you work through your own research. If you need extra help or want to double-check that you’re remaining within the law. It’s always a good idea to hire an attorney to fill you in on the important laws that affect you and your business the most.
I would emphasize this more since Massachusetts is the only state that prohibits them.
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