How to Respond to an Unauthorised Person in Your Rental Property

How to Respond to an Unauthorised Person Living in Your Rental Property

Discovering that an unauthorised person is living in your rented home can be quite upsetting. As a landlord, it is your responsibility to maintain the property and guarantee that only authorised and verified tenants reside in there. Unfortunately, even with a strong lease agreement, there may be instances when a tenant's guest(s) overstay their welcome, someone unlawfully sublets the property, or you have to deal with a squatter who refuses to move out. To learn about the many types of unauthorised occupiers and how to deal with them if they move into your rental continue reading below.

What defines an Unauthorised Occupant in Your Rental Property?

Several criteria contribute to the definition of an unauthorised tenant. However, some landlords are unconcerned with their tenants having extended guests or bringing in more persons who contribute to the monthly rent. So, as far as these property owners are concerned, the first thing that matters is that the rent is collected.

However, for landlords who are concerned about an unauthorised occupant staying in the property, it is critical to grasp what constitutes "unauthorised." Most lease agreements specify that only the tenants on the lease and no one else may occupy the leased home. As a result, any other individual staying in the property at any time is technically regarded "unauthorised" under the lease rules.

Types of unauthorized guests:

Long-Term Guests

Is a visitor or family member who has moved into your rental home with your tenant's approval. They may stay for extended periods of time and share small expenses, but they do not pay a sum towards the monthly rent.

However, some property owners will regard long-term guests to be people who have moved in without their consent, even if their renters have invited them to stay. Furthermore, some of these guests go so far as to modify their mailing addresses to match that of the accommodation. Generally, long-term guests remain for more than two weeks.

Sublet Tenant

When tenants are unable to meet their commitments for any reason, they may seek a sublease tenant. These unauthorised occupants reach an agreement with the renter rather than the landlord. As a result, when this happens, your rental home has become the victim of a sublease. For landlords, having an unvetted tenant who did not sign the initial residential lease is unfavourable.

Squatters

Squatters, also known as trespassers, are individuals that enter your rented property without permission from the property owner. The true definition of a squatter is someone who breaks into your unoccupied property, turns on the utilities, and moves in. However, this complex topic is governed by numerous municipal regulations. However, if a property owner illegally evicts a squatter, or if the squatter remains on the land for an extended period of time with no attempt at concealment, the squatter may be able to retain some rights. This exacerbates a landlord's troubles significantly.

Additionally, if your tenant refuses to leave the property under lawful conditions or fails to pay rent, they are also considered squatters.

Why are Unauthorised Occupants problematic for Landlords?

They Can Cause Property Damage - Because authorised tenants are responsible for their guests' activities, any resulting damage may be covered by their renter's insurance. However, each insurance policy is unique and may not provide the same level of coverage. Holding a guest or unauthorised occupant personally responsible for damages can be challenging for landlords.

Rent is Not Paid - When an unauthorised occupant is not on the lease, they are not legally obligated to pay the rent. As a result, landlords have a major challenge. Getting an unauthorised occupant out will most certainly need a court eviction, which takes both time and resources for landlords. Meanwhile, no rent is coming in.

The Lease is Unenforceable - Unauthorised occupiers did not sign the initial lease and hence were not required to obey the rental conditions. This leads to a slew of possible issues, including noise complaints, parking infractions, and Residents' Associations concerns, leaving the landlord with little options.

How to Manage an Unauthorised Occupant in Your Rental:

Dealing with Long-Term Guests

Experts recommend including guest limitations in the lease agreement to avoid overstayers who do not pay to the monthly fee. Often referred to as the "Use of Premises" clause, this may include a 10-day limit on guest visits in any 6-month period. Furthermore, if a tenant desires to house a guest for an extended period of time, the agreement must be approved in writing by the owner.

It is also critical to discuss the implications of "hiding" long-term guests in the home, such as fines, rent increases, and even eviction. Furthermore, these unauthorised tenants are not subject to the conditions, hence they cannot be held to any of the lease restrictions. As a result, strong rules are necessary.

Rectifying a Sublet Property

One of the most effective methods to avoid a sublease nightmare is to explicitly prohibit it in your rental agreement. That way, if your renter decides to sublet nonetheless, the landlord will have a solid defence. So, if you find yourself dealing with an unauthorised tenant, here are some things to keep in mind. Check out the following recommendations for dealing with a sublease and an unauthorised occupant.

Addressing Subleasing in the Lease - If you do not wish to allow subleasing, specify so in your lease agreement. Some jurisdictions will not accept your claims against an unauthorised person if you do not explicitly indicate in your lease that subleasing is not permitted. However, if you decide to enable subleasing, incorporate airtight terms requiring prior landlord authorisation. Also, encourage all sub-tenants to meet the same screening requirements as your initial tenants. Finally, have all parties sign a newly created sublease agreement.

Do Not Collect Funds: Never collect rent from an unauthorised subtenant. Once a landlord takes payments, certain tenant regulations go into effect, protecting the sub-tenant regardless of whether they are legally permitted to be in your property.

Eviction - If you are intending to evict a subtenant, make sure you follow the proper legal eviction processes to prevent putting yourself in trouble.

Facing a Squatter.

If you instruct someone to leave your rental property—whether an unauthorised guest or a squatter—and they do not go, landlords have the right to seek an eviction. To do so, owners must bring a "wrongful detainer" case in District Court. A "wrongful detainer" is someone who unlawfully has real property, such as a house, flat, building, or land. However, you cannot use a "wrongful detainer" to evict present tenants or those who are holding over. Check out the steps to start a "wrongful detainer" action below.

Steps for Wrongful Detainer Actions

1. File a complaint with the District Court.
2. The court issues a summons to the individual accused of wrongfully possessing your property.
3. The unauthorised occupant will appear in court to explain why they are not to blame.
   If the court rules in favour of the landlord, the owners will receive a restitution warrant.Landlords will then schedule a date with the court to evict the unauthorised occupant from the property.
4. Landlords will then schedule a date with the court to evict the unauthorised occupant from the property.
5. Again, it is vital to observe legal laws while evicting an unauthorised occupant from your investment property.