As a landlord, you may come upon a complexity when your tenants ask to install a hot tub on your rental property. While it can bring about your sought-after tenant satisfaction and cost savings, hot tub installation has imminent risks. If the hot tub malfunctions or creates damage to the property, you may be left with costly repairs and legal disputes. On top of that, poor tenant maintenance can set off hygiene concerns or safety hazards.
In such a case, preparatory to making a decision, it’s necessary to take into account all the likely risks and benefits of allowing your tenants to install a hot tub. Think about consulting with legal or insurance professionals to ascertain you are secured in case of any issues.
For property owners, deciding if tenants can have a hot tub counts on a number of factors. There are appropriate reasons for allowing or not allowing it. Here are a number of considerations for each option:
Reasons to Allow Tenants to Have a Hot Tub:
- Attracting and Retaining Tenants: Extending amenities such as a sauna bath can make your property more appealing to potential tenants, giving you the ability to charge higher rent and retain tenants for longer periods of time.
- Increased Property Value: Installing a hot tub can heighten the overall value of your property, which can be a positive thing if you plan to sell in the future.
- Competitive Advantage: In multiple rental markets, putting in place a hot tub can give your property a competitive edge over others, helping it to be really attractive and get rented more quickly.
- Tenant Satisfaction: Tenants who are crazy about the luxury of a hot tub may be more blissed out with their living arrangements, which could lead to fewer complaints and the best of relationships.
Reasons Not to Allow Tenants to Have a Hot Tub:
- Maintenance and Costs: Hot tubs require regular maintenance, namely cleaning, water treatment, and conceivable repairs. You may need to tackle these costs yourself or pass them on to your tenants, which could discourage several renters.
- Liability and Safety Concerns: Hot tubs can definitely pose safety risks. There is a risk of accidents, injuries, or even lawsuits if someone gets hurt. You may need to acquire additional insurance coverage to safeguard yourself.
- Potential Property Damage: There’s a risk that the sauna bath could damage the property, as an illustration, the deck or plumbing, which may necessitate costly repairs.
- Local Regulations: Innumerable local municipalities and homeowners’ associations may have regulations or restrictions on adding and using hot tubs. It’s integral to check and always adhere to any such rules.
- Increased Utility Costs: Hot tubs consume electricity and water which could provoke higher utility bills. Determine whether you or the tenant will cover these costs.
Assume you are open about allowing your tenants to put up a hot tub on your property. In such a case, there are several crucial considerations to be mindful of, namely, ownership, the lease agreement terms, the removal and restoration process, cost responsibilities, and the approval process.
Forming clear-cut guidelines and rules in the lease agreement is strongly suggested if you resolve to permit hot tub installation. This can include basic issues such as maintenance and repair, responsibilities, and usage restrictions, which are salient to ensure the safety of your tenants and protect your property.
If you’re managing rental properties in Hoffman Estates and would like to have more insightful tips on how to write your lease agreement, the property managers at RPM NW Chicago Suburbs can certainly help. Contact us online or call us at 847-737-4800 today.
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