As a landlord, you may meet a real complication when your tenants ask to install a hot tub on your rental property. Much as it can be the cause of high tenant satisfaction and cost savings, hot tub installation also poses certain risks. If the hot tub malfunctions or induces damage to the property, you may be left with costly repairs and legal disputes. Plus, poor tenant maintenance can set in motion hygiene concerns or safety hazards.
For this reason, prior to formulating a decision, it’s weighty to evaluate all the probable risks and benefits of allowing your tenants to install a hot tub. Consult with legal or insurance professionals to ascertain you are shielded in case of any issues.
For property owners, deciding if tenants can have a hot tub is dependent on innumerable factors. There are right reasons for allowing or not allowing it. Here are a bunch of considerations for each option:
Reasons to Allow Tenants to Have a Hot Tub:
- Attracting and Retaining Tenants: Bringing in amenities, for example, a sauna bath can make your property more appealing to potential tenants, enabling you to charge higher rent and retain tenants for longer time periods.
- Increased Property Value: Installing a hot tub can extend the overall value of your property, which can be really helpful to you if you plan to sell in the future.
- Competitive Advantage: In a few rental markets, integrating a hot tub can give your property a competitive edge over others, helping it to be noticed and get rented more quickly.
- Tenant Satisfaction: Tenants who adore the luxury of a hot tub may be more pleased with their living arrangements, which could cause a reduction in complaints and excellent relationships.
Reasons Not to Allow Tenants to Have a Hot Tub:
- Maintenance and Costs: Hot tubs need regular maintenance, particularly cleaning, water treatment, and some repairs. You may need to bear these costs or pass them on to your tenants, which could discourage countless renters.
- Liability and Safety Concerns: Hot tubs can certainly pose 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 keep yourself protected.
- Potential Property Damage: There’s a risk that the sauna bath could damage the property, in particular, the deck or plumbing, which may need costly repairs.
- Local Regulations: Many local municipalities and homeowners’ associations may have regulations or restrictions on putting up and using hot tubs. It’s relevant to check and fulfill any such rules.
- Increased Utility Costs: Hot tubs consume electricity and water, which could cause to happen higher utility bills. Finalize your decision on whether you or the tenant will cover these costs.
Imagine you are taking into account allowing your tenants to place a hot tub on your property. For this reason, there are several vital considerations to ascertain, namely, ownership, the lease agreement terms, the removal and restoration process, cost responsibilities, and the approval process.
Articulating clear guidelines and rules in the lease agreement is seriously suggested if you choose to permit hot tub installation. This can include essential issues such as maintenance and repair, responsibilities, and usage restrictions, which are pivotal to ensuring the safety of your tenants and protecting your property.
If you’re managing rental properties in Bridgeville and would like more insight on how to write your lease agreement, the Bridgeville property managers at Real Property Management Diamond can help. Contact us online or call us at 302-313-7700 today.
Originally Published on July 3, 2020
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