As a landlord, you may come upon a complexity when your tenants ask to install a hot tub on your rental property. While, in fact, it can cause high tenant satisfaction and cost savings, hot tub installation has also likely risks. If the hot tub malfunctions or brings about damage to the property, you may be left with costly repairs and legal disputes. Over and above that, poor tenant maintenance can induce hygiene concerns or safety hazards.
Thus, in preparation for making a decision, it’s important to contemplate all the likely risks and benefits of allowing your tenants to install a hot tub. Carefully think of consulting with legal or insurance professionals to always make sure you are actually covered in case of any issues.
For property owners, deciding if tenants can have a hot tub depends on certain factors. There are appropriate reasons for allowing or not allowing it. Here are a few considerations for each option:
Reasons to Allow Tenants to Have a Hot Tub:
- Attracting and Retaining Tenants: Offering amenities, for instance, a sauna bath can make your property more appealing to potential tenants, letting you charge higher rent and retain tenants for a long time.
- Increased Property Value: Installing a hot tub can heighten the overall value of your property, which can be advantageous if you plan to sell in the future.
- Competitive Advantage: In many rental markets, setting up a hot tub can give your property a competitive edge over others, helping it to actually stand out and get rented more quickly.
- Tenant Satisfaction: Tenants who love the luxury of a hot tub may feel more blissful with their living arrangements, which could cause less puny complaints and more peaceful relationships.
Reasons Not to Allow Tenants to Have a Hot Tub:
- Maintenance and Costs: Hot tubs require regular maintenance, such as cleaning, water treatment, and perhaps repairs. You may need to tackle these costs or pass them on to your tenants, which could deter a lot of renters.
- Liability and Safety Concerns: Hot tubs can constitute safety risks. There is a risk of accidents, injuries, or even lawsuits if someone gets hurt. You may need to obtain additional insurance coverage to safeguard yourself.
- Potential Property Damage: There’s a risk that the sauna bath could damage the property, by way of example, the deck or plumbing, which may necessitate costly repairs.
- Local Regulations: Lots of local municipalities and homeowners’ associations may have regulations or restrictions on outfitting and using hot tubs. It’s beneficial to check and adhere to any such rules.
- Increased Utility Costs: Hot tubs consume electricity and water, which could cause higher utility bills. Determine whether you or the tenant will cover these costs.
Assume you are thinking of allowing your tenants to put up a hot tub on your property. If that’s the case, there are several very important considerations to always take note of such as ownership, the lease agreement terms, the removal and restoration process, cost responsibilities, and the approval process.
Determining clear-cut guidelines and rules in the lease agreement is greatly recommended if you make up your mind to permit hot tub installation. This can compose necessary 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 Lewisville and would like more insight on how to write your lease agreement, the Lewisville property managers at Real Property Management Pioneer can help. Contact us online or call us at 940-435-2526 today.
Originally Published on July 3, 2020
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