Monday, June 15, 2009

Tenants vs. Landlords - Bad Economy Has Both Suffering

The economy has taken a pounding on just about everyone, and that includes landlords.

And when landlords get squeezed, they tend to cut back on upkeep on their rentals. Even when they're not supposed to.

The number of complaints about property owners who refuse to repair and maintain apartments, condominiums and mobile homes are rising, said Maria Sanchez, manager for the Orange County Bar Association's Citizen Dispute Settlement and Family Law Mediation.

Residents say their landlords no longer want to exterminate bugs, repair plumbing and patch leaky roofs. Housing advocates worry that as the economy worsens, so will living conditions in Central Florida.

The Citizen Dispute Settlement and Family Law Mediation estimates that 30 to 35 people a day call with complaints about their landlord. Of those, 30 residents a week actually bring in their landlords for mediation.

Many landlords are putting the pressure on their tenants to fix problems, Sanchez said. She said residents from throughout the region have come to her for free assistance after their landlord threatened to evict them for not painting the exterior of the house or reporting issues to county code-enforcement officials.

"The landlord takes advantage," Sanchez said. "It's getting worse, and I expect it to continue."

Not all landlords who refuse to fix things are "slumlords" ready to swindle their residents, said attorney Frank Pohl of Pohl & Short law firm.

"Everybody is going through an economic pounding - that's what is driving this. It's not because they're evil," said Pohl, who has represented landlords and tenants in small-claims court for 30 years. He said some tenants can expect too much of landlords and demand they take care of every little thing, especially now in this renters' market. He cautions tenants to read their leases before signing and figure out what maintenance they're responsible for.

State laws require landlords to, among other things, maintain the roof, windows, screens, water pipes, exterior walls and plumbing; and to provide pest extermination and heat systems during winter.

Although there are many landlords willing to take a financial hit as they maintain their properties, attorney Gregory McMahon with Marcus, McMahon & Myers, said others, especially newer ones, aren't prepared to meet obligations laid out in their lease agreements.

During the region's housing-market boom, many people invested in properties hoping to flip them. McMahon said many new property owners don't have the money to cover maintenance.

"They couldn't pay the $1,000 to fix the air conditioning in their own place," McMahon said.

Tenants do have options

• Try mediation.

  Several agencies, including the Orange County Bar Association, offer free mediation to help tenants and landlords reach a middle ground. The contract both parties sign is binding in court. More than half of the mediation cases reach an agreement, according to the Citizen Dispute Settlement and Family Law Mediation.

• Call code enforcement.

  Major problems such as a collapsed roof, bad electrical wiring and broken heating systems, can be reported to county code enforcement officials. Property owners are required by state law to maintain a safe and sanitary building. Health officials also will step in if there are sanitary issues, as they did at a Lakeland mobile park that had overflowing septic tanks.

• Withhold rent.

  State laws allow residents to withhold rent if the landlords don't comply with their legal obligations. Tenants must send a letter to their landlord, preferably by mail, identifying the problems and their plans to withhold rent. The letter must be sent seven days before rent is due. The landlord has seven days to fix the problem.

• Sue.

  Tenants can take the landlord to small-claims court. But there are filing fees of up to a few hundred dollars. It's recommended a tenant hire an attorney because housing laws can be complicated. The winning side is entitled to reimbursement of filling and service-processing fees and even attorney fees.

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