CT Real Estate Today - April 2022 Edition

In This Month’s Edition Current Legislation Concerns Housing Providers

Sample Criteria For Accepting Or Rejecting A Rental Applicant

Five Screening Tips To Help Minimize A Property Owners Risk When Moving In A New Resident

5 Ways To Make Your Home More Energy Efficient

April 2022

Published by:

Table of Contents Publisher’s Message A Message From Bob DeCosmo, President Of CTPOA

News And Views From The Capitol Proposed Legislation You Need To Know About

Realtor Report Mortgage Refinance Demand Plunges 60% As Rates Hit Their Highest Level Since 2018

Insurance Insights Eight Tips For Buying Homeowners Insurance

Property Management Tips & Tricks Five Screening Tips To Help Minimize A Property Owners Risk When Moving In A New Resident

Helping Property Owners Since 1994

Published by: CTPOA

CTPOA’s Mission:

Financially Speaking Mortgage Rates Are Increasing, Here’s What That Means If You’re Buying A Home

Get Energy Efficient 5 Ways To Make Your Home More Energy Efficient

The Legal Corner

Educate our members on the Best Practices.

Increase profitability.

Provide access to Core Services.

Advocate for Property Owner Rights.

Tips For First Time Landlords Meet Our Team:

Vendor Spotlight Let Us Bear Your Junk!

Bob DeCosmo Carmine DeCosmo

Tenant Screening Tips & Tricks Sample Criteria For Accepting Or Rejecting A Rental Applicant

Melissa DeCosmo Paul Jenney

Chelsea Sayegh

PO Box 4795 Waterbury, CT 06704 800-369-6153 info@ctpoa.com

By Bob DeCosmo Advocate For Property Owner Rights With less than 2 weeks remaining in the 2022 Legislative session in Connecticut, rental housing has come under a relentless attack by those seeking to usher in a more socialistic way of life.

The House just passed a bill requiring all cities with a population of over 25,000 to create Fair Rent Commissions, an unfunded mandate to our cities and towns. These commissions have

powers over property owners and can reverse rent increases, conduct hearings and investigations, and interfere with the fair market process of letting supply and demand set rent levels.

In addition to this Bill, efforts to eliminate “lapse of time evictions” and conceal eviction records are also pushing their way through the process of becoming law in Hartford. What the legislators behind these policies fail to realize is not only is this an attack on private property ownership, it’s also an assault on good tenants and will harm these good tenants also.

Tenants that are law abiding and just want a quiet and decent place to live will be faced with

higher rent costs as well as more stringent application screening as owners will be forced to consider all renters to be riskier if we can’t see a person’s full and true background. It will also force good tenants to live next to unruly occupants if lapse of time evictions is eliminated making their lives miserable.

We have said this many times, property owners, rental agents and property managers need to contact their local elected officials and tell them enough of the anti-landlord policy as everyone will lose if we continue to pursue the Democratic Socialist housing agenda.

04 / Publisher’s Message

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Propose Legislation You Need To Know About!

HB5045 An Act Reducing Lead

percentage of other countries today burning

Poisoning.

leaded gasoline meaning it’s an

As one of Governor’s Lamont housing

environmental issue that won’t go away until

initiatives, the State is proposing to lower its

we stop generating leaded emissions.

benchmark were a child’s lead level results

There is no medical treatment available for

in an abatement order for a property owner

lead poisoning unless the child’s blood lead

as follows;

level is above 45 micrograms per deciliter, a

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from 20 to 15 micrograms per deciliter of

value which is very rare these days. Also,

blood from January 1, 2023, to December lead levels have plummeted to historic lows the past two decades in Connecticut.

31, 2023 •

then to 10 micrograms per deciliter of

There is very little proof that children eat

blood from January 1, 2024, to December lead paint chips, but they contract lead at an early age by grabbing windowsills that have 31, 2024 •

and 5 micrograms per deciliter of blood

a high concentration of lead enriched dust

on and after January 1, 2025.

and put their hands in their mouths to ingest

The number one source for childhood lead poisoning is lead enriched, soil born dust that has penetrated the soil from years of burning leaded gasoline. There is still a

lead. Proper housekeeping and cleaning would eradicate the problem as effectively and not require an expensive full-blown abatement.

06 / News & Views From The Capitol

HB5041 An Act Concerning Home Energy resulting data will be highly inaccurate as it’s Affordability For Home Renters. based on tenant’s behaviors, not Another Lamont housing initiative requires a necessarily our heating equipment. "home energy label" that can be disclosed to the prospective tenants and means a (1) United States Department of Energy Home Energy score, (2) a Home Energy Rating System Index score, (3) an Energy Star score, or (4) other labels which may be selected by the Commissioner of Energy and Environmental Protection It requires any landlord, listing any dwelling unit for rent through a multiple listing service, real estate brokers' organization or other service, organization, or facility related to the business of selling or renting dwelling units, including private listing services, shall provide a home energy label, with an electronic link to the Internet web site containing the report for such home energy label

SB168 An Act Establishing A Right To Housing Does not contain any benefit to the landlord, its purely looking at ways to provide housing to those in our society that have had traditional difficulties in maintaining a roof over their head.

It also requires the establishment of a committee to report to the Housing Committee annual that lacks property owner representation and is heavily biased in favor of tenants. This will most likely lead to further regulations put upon landlords and make housing less affordable in the future, it’s a step in the wrong direction.

SB200 An Act Concerning Summary Process Records.

The Bill requires the removal of Internet The proposal allows for fines against records or identifying information concerning property owners as any municipality which summary process actions after the meets the criteria set forth in subsection (c) disposition of such actions. For cases of this section may, by ordinance, establish dismissed, withdrawn or marked judgement a civil penalty payable to such municipality for defendant, they will be removed from for a violation of this section, provided such public view within 30 days. For cases that civil penalty shall not exceed five hundred the landlord prevailed, they will be removed dollars for a first violation and one thousand within 1 year. dollars for any subsequent violation There is no more misunderstood activity How can landlords access this energy consumption when the utility companies won’t share it? Secondly, how can we account for a tenant that is irresponsible with their energy consumption habits versus a tenant that is responsible, we can’t control their living habits and should not be penalized for other people’s behavior, the

than an eviction. The true “victim” is the landlord who has a contract via a lease arrangement with a tenant and the tenant broke their agreement, in most cases by not paying their rent obligation and the landlord has suffered monetary damages. Evictions are a reaction to a bad situation.

07 / News & Views From The Capitol

Removing records from view at such short periods runs afoul of the Fair Credit reporting Act that established fair and impartial guidelines for reviewing consumer reports. If landlords can’t see an applicant’s true history, they will increase their underwriting requirements such as a credit score as the rental business has just become much riskier. Landlords will also seek higher rents to compensate against anticipated future collection losses.

This will make it more difficult for renters to find apartments and will have the opposite impact upon the tenant population the Bill is intended to benefit. Also, no decent tenant wants to live across the hall from an unruly occupant, this Bill harms good tenants and puts them and their families in a potentially bad situation.

HB5234 An Act Concerning The Rights And Responsibilities Of Landlords And Tenant

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allows landlords to accept damage insurance in lieu of security deposits but what happens if the tenant stops paying their insurance premium? Not a good idea if monthly payments are being made by renters. permit tenants to conduct a walk-through inspection of the dwelling unit prior to moving in which is a good idea and we don’t object to this and encourage it to avoid conflict when returning security deposits limit fees a landlord may charge in connection with tenant screenings to just $20 and that’s far below the current rate so landlords and Real Estate agents must pay the difference out of their own pocket. It also requires owners to give a copy of their reports to tenants and this violates Credit Bureau policy to guard against identity theft. require landlords to provide written notice to certain protected tenants of their legal rights regarding evictions

Has multiple components, it: 08 / News & Views From The Capitol

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require landlords to provide notice of pending foreclosure actions to current and prospective tenants and allow current tenants to seek a court order appointing a receiver of rents, and

3. permanently residing with a spouse or specified relative that is (a) at least age 62 or (b) an individual with a disability meeting certain requirements;

4. a conversion tenant in a mobile home • require that landlords provide tenants park meeting certain requirements. Current with voter registration forms upon the law permits landlords to request proof of execution of any lease which should not protected status and requires tenants to be a landlord responsibility. provide this proof within 30 days. The bill eliminates these provisions and makes HB5233 An Act Concerning Evictions For conforming changes.

Cause Lapse of time evictions is a tool used by This bill extends protections against lapse of landlords that is necessary to deal with time evictions and excessive rent increases disruptive renters that have rental subsidies to cover all tenants residing in buildings and as their rent is paid. Other tenants fear for complexes over 5 units, mobile home parks, their lives and won’t confront another tenant and certain common interest communities. that is acting in a disruptive manner or want Under current law, these protections are to go to court and testify against that tenant. available only to certain "protected It’s up to the landlord to remove this situation tenants" (see below). Specifically, the bill and lapse of time is a needed tool to help prohibits landlords from evicting, solely for protect good tenants. their lease expiring (i.e., lapse of time), all tenants residing in Currently this is limited to 5 units or more but is a pen-stroke away from including all rental (1) a building or complex consisting of five units and we oppose this Bill. or more separate dwelling units, (2) a mobile manufactured home park (including certain conversion tenants), (3) a dwelling unit in a common interest community where the landlord owns five or more units.

Take a moment to find your local legislators at this link by entering your mailing address: https:// www.cga.ct.gov/asp/menu/ CGAFindleg.asp.

Under current law, the prohibition applies only to evicting certain protected tenants residing in these dwellings. This includes a tenant who is:

Then click on the names of the State Representative AND State Senator in your district, go to their websites and copy and paste the 1. at least age 62; above (or your own messaging) in 2. an individual with a physical or intellectual their Contact section of their sites. disability; 09 / News & Views From The Capitol

Mortgage Refinance Demand Plunges 60% As Rates hit Their Highest Level Since 2018 By: Diana Olick, with cnbc.com Mortgage rates took another jump higher last week, taking their toll on current borrowers who might have wanted to refinance. Demand from homebuyers, however, appears to be hanging in for now.

Total mortgage application volume decreased 6.8% last week compared with the previous week, according to the Mortgage Bankers Association’s

0.59 (including the origination fee) for loans with a 20% down payment.

“Mortgage rates jumped to their highest

seasonally adjusted index. This, as the level in more than three years last average contract interest rate for 30-

week, as investors continue to price in

year fixed-rate mortgages with

the impact of a more restrictive

conforming loan balances ($647,200 or monetary policy from the Federal less) increased to 4.80% from 4.50%,

Reserve,” said Michael Fratantoni,

with points decreasing to 0.56 from

MBA’s chief economist.

10 / Realtor Report

Driving the downturn in overall

At an open house held last Sunday,

mortgage demand was a 15%

she said buyers were steeling

weekly drop in refinance

themselves for a bidding war.

applications. They are now down a whopping 60% from a year ago. The refinance share of mortgage activity decreased to 40.6% of total applications from 44.8% the previous week.

“You have to look at it knowing you’re probably going to have to offer like $40,000 over asking price,” said Lauren Poey, a potential buyer

touring the home.

Mortgage applications to purchase a

home increased 1% for the week but Key Points: were 10% lower than the same week

•

The average contract interest rate

one year ago. Homebuyers today

for a 30-year fixed-rate mortgages

continue to face sky-high prices and

with conforming loan balances

record low supply, in addition to

($647,200 of less) increased to

rising mortgage rates. Affordability is

4.80% from 4.50%.

weakening dramatically, but some real estate agents say the

•

for the week and were down 60%

competition is not letting up.

“I will say I have had more cash buyers this this year than I’ve ever

had, and they’re borrowing from parents. They’re just finding that

Refinance applications fell 15% from a year ago.

•

Homebuyer mortgage demand rose 1% for the week but was down 10% from a year ago.

cash because they know that it’s more competitive with cash offers,” said Kelly Theriot McMahon, a real estate agent with Compass in Dallas.

11 / Realtor Report

Eight Tips For Buying Homeowners Insurance By: Michele Lerner, with washingtonpost.com People purchasing their first homes represented 31

Buyers should start looking for a home insurance

percent of all buyers in September, according to the provider as soon as they have a contract accepted National Association of Realtors. Among the many steps in the process is purchasing homeowner’s insurance.

to buy a home.

“Most mortgage companies require proof of insurance before closing,” wrote Bill Gatewood,

“Home buyers — especially first-time home buyers

corporate vice president at insurance

— often don’t think about budgeting for home

brokerage Burns & Wilcox in Detroit. “Homeowners

insurance when looking for their dream home, but

should begin shopping around at least 30 days prior

they should,” Sean Harper, co-founder and CEO

to closing — waiting until the last minute can delay

of Kin Insurance in Chicago wrote in an email.

the process.”

“Where you live can have an enormous impact on

Many first-time buyers will often go with whatever

your home insurance rates,” Harper added. “For

home insurance company their real estate agent

example, homeowners near open space in

recommends, but that isn’t the way to get the best

California and on the coast of Florida are more

price or necessarily the best coverage, Harper

exposed to extreme weather (like wildfires and

wrote. Try these tips to make a wise decision about

hurricanes, respectively), and insurance in these

your

areas will usually cost more because of it. Home

homeowner’s

buyers should also be aware of local flood

insurance

disclosures laws when buying a house in a flood

policy:

zone. You’ll want to know if flood insurance is required for the property and whether the home has experienced any flood damage in the past.”

12 / Insurance Insights

1. Go online and get some quotes. Make sure

according to Gatewood. “People in natural

you’re comparing apples to apples when

disaster catastrophe zones should also do all they

assessing your options — some policies may offer can to protect their homes before disaster strikes, substantially more coverage, Harper wrote.

2. Know what your policy does and doesn’t cover. Homeowners insurance protects against most common exposures like water damage, electrical fires and roof leaks, but maintenance issues like mold and pest infestations usually aren’t covered, according to Gatewood. “You may

such as clearing brush from around their property, installing impact-resistant doors and windows and using noncombustible landscaping,” Gatewood wrote. In addition, Harper wrote, insurance companies may give you a discount for making your home safer, such as investing in wind mitigation in Florida.

need special coverage for items like fine art, a

6. Look for discounts. While there are common

wine collection or antiques that typically aren’t

home insurance discounts, they aren’t

covered either,” Gatewood wrote.

standardized across the industry, Harper wrote.

3. Check the insurance company’s rating. A rating is an independent assessment, usually by AM Best or Demotech, of the company’s financial standing, according to Harper. “A good rating

Most companies offer at least a 5 percent discount for security systems. Water mitigation systems like automatic water shut-off valves and leak sensors can qualify for discounts, too.

means the company can meet its claim obligations 7. Add liability protection. Every homeowner even after a widespread disaster,” Harper wrote.

4. Pick a high enough deductible. When selecting an insurance policy, homeowners need to make sure they’re covered in the wake of a catastrophe that could fully wipe out their home and belongings, wrote Gatewood, but to save money, buyers should choose as a high a deductible as

should have at least $100,000 in personal liability coverage, enough to cover common claims like a slip and fall accident on the property. “If you have a swimming pool or have a high net worth and could be a target for frivolous lawsuits, it may make sense to increase your liability coverage above that minimum,” Harper wrote.

they can afford. Gatewood recommends choosing

8. Don’t forget to buy enough loss of use

a deductible of $2,500 and filing a claim only for

coverage. Coverage for your living expenses, if

something worth more than that amount. Harper

you must relocate while your home is being

wrote that buyers should make sure they budget

repaired, is part of most standard homeowner

for their deductible, in case they have a claim, and insurance policies. “We typically suggest that to have an emergency fund that also covers small

homeowners have about 20 percent of their

repairs that cost less than the deductible.

dwelling coverage in loss of use (also known as

5. Check out additional protections. Depending on their location, homeowners need to make sure they have adequate coverage for severe weather

additional living expenses) coverage,” Harper wrote. “So, if your home is insured for $300,000, you’d have $60,000 in loss of use coverage.”

disasters such as wildfires, hurricanes and floods, which sometimes require an additional policy,

13 / Insurance Insights

Five Screening Tips To Help Minimize A Property Owners Risk When Moving In A New Resident By: Adrianne Angel, Pro Property Management, Owner / Broker As tenants are provided more free resources, it is becoming even more important for landlords to do a thorough screening before moving in new residents into their investment properties. Not doing a thorough screening could cost a landlord on average between three to five thousand dollars in damages. These damages are

only going to get higher due to the delays in housing court cases caused by the extended Eviction Memorandum and providing free legal representation to tenants in housing court, a newly enacted law in Connecticut.

Below are some recommended screening criteria to consider when evaluating a potential applicant that will reduce the landlord’s risk: Credit – Reviewing an applicant’s credit score is usually the most common screening criteria used by landlords. The credit score is definitely an important factor to consider, but many tenants do not have a good score due to factors that do not truly reflect their current financial situation such as no credit history, divorce, past bankruptcy, foreclosure or medical bills.

Reviewing the current payment behaviors and debt obligations in the report will give you a better understanding of the tenant’s financial abilities than just the score itself.

14 / Property Management Tools & Tips

Rental History – Evaluating the rental history of an applicant can be tricky.

Some good applicants do not have rental history and some landlords have an incentive to lie in order to get a bad tenant out of their home. Always request last two past landlords contact information and double check landlord’s full name on the assessor’s database to ensure you are talking to the right person. Some landlords require an inspection of where they are currently living to get a better understanding of how they will take care of their home.

Income – There are several options available to confirm an applicant’s income.

It is important to only take into consideration income that can be verified with an award letter, paystubs, bank statements, or taxes. If reviewing paystubs, request at least 3 pay periods to confirm average pay as it may vary per pay period. Qualified applicants should make at least 3 times the rent and all sources of income needs to be considered including all forms of subsidy assistance.

Eviction – Not all CT eviction records are kept online so we use Tenant Tracks reports because they include all offline eviction records. A recent eviction

should be evaluated differently than one that happen seven or more years ago. Good recent rental history may help offset the risk of an applicant who has a past eviction due to circumstances that no longer exist.

Criminal – Some of the free reports only include local records so make sure you are reviewing national criminal history to get the best assessment. The type of felony and how long ago the conviction happened should both be considered. Not all felony’s will put your property or other residences at risk.

In summary, no screening criteria or report can reduce an applicant’s risk 100%.

Sometimes you can have a great candidate on paper and you still end up having to evict them. Having a fair and consistent screening criteria is key to ensuring you are treating everyone equally and reduces your risk at the same time. To ensure you are complying with all fair housing laws we recommend you hire a licensed Property Manager or Real Estate Agent to help you with all your leasing needs.

15 / Property Management Tools & Tips

Mortgage Rates Are Increasing. Here’s What That Means If You’re Buying A Home By: Laura Grace Tarpley, with businessinsider.com The US has been experiencing all-time low

to 4%. They were well below 3% in early 2021. This

mortgage rates for almost two years. But all of that

stark difference can make it seem like rates are

is changing.

high and you've missed the opportunity for a good

Low mortgage rates are usually reflective of a

mortgage rate.

struggling economy. Rates plummeted in 2020

However, data from Freddie Mac shows that

when the coronavirus pandemic began, people lost

mortgage rates are still relatively low. As recently as

jobs, businesses closed, and the Fed lowered

late 2018, 30-year rates were at almost 5%.

the federal funds rate to 0% to 0.25%. They stayed at record lows throughout 2020 and 2021.

Mortgage rates have started rising in the beginning of 2022, though. Yes, the US economy is still working its way back from the damage caused by the pandemic. But it's also successfully added more jobs, more people are joining the workforce,

and inflation has soared.

These trends can be good for the economy, but potential homebuyers may be upset that they can't get a rate under 3% anymore, like McClinton did.

How high are rates going to get, and what does this mean for buying a home?

Thirty-year fixed mortgage rates are getting closer

16 / Financially Speaking

Will mortgage rates go up in 2022?

Mortgage rates have already gone up this year, and it's possible they will continue to increase. The Fed expects to raise the federal funds rate multiple times in 2022 in response to inflation, which could be a sign that mortgage rates will also increase.

There are plenty of other factors to consider, though. If there's a new wave of the coronavirus, or the Russia-Ukraine conflict heavily impacts the US, economic growth could slow and the rise in mortgage rates might stall.

Rates are likely to continue to rise throughout 2022, just not as rapidly as they did in January and February.

"They could go up as high as 4.5%," said Nicole Rueth,

prefer the lower interest rate — but your monthly

producing branch manager at The Rueth Team

payment goes up by less than $100.

of Fairway Mortgage. "Then I think they'll come back down as we go into some sort of recession where the economy slows down, inflation slows down, and then that 30-year fixed rate comes down as a result."

But while rates could decrease later in 2022, Rueth doesn't necessarily expect them to fall back below 3% like they were last year.

How rates should factor into the homebuying process

"Homeownership is a major milestone goal for most people in our country, so I think people are going to buy homes no matter what interest rates are," Banosian said.

First-time homebuyers face greater obstacles than rising rates Joel Kan, the associate vice president of economic and industry forecasting for the Mortgage Bankers Association, sees rates continuing to increase — up to, potentially, 4.25% toward the end of 2022. But again,

There are a number of factors that homebuyers should

Kan said, there's no need to worry: Even rates above 4%

consider when buying a home — and mortgage rates, of

rates are still low.

course, are one of them.

While the low rates we've grown accustomed to over the last two years have gotten most of the attention, a decision about whether or not to purchase a home ultimately should not come down to interest rates.

"You shouldn't make your buying decisions of a home based on where interest rates are," said Shant Banosian, the executive vice president of sales at Guaranteed Rate.

Banosian, the firm's No. 1 loan originator in the US,

However, he added, other economic factors have emerged as more decisive roadblocks for homebuyers.

"You're combining a higher mortgage rate with home prices that have been increasing at 17% and 18% yearover-year for the country," Kan said.

Indeed, skyrocketing home prices and severely low inventory, or too few homes on the market, are the main

reasons it's hard to buy a home.

How to cope with rising interest rates

believes that now is as good a time as any to purchase a

The best advice to navigate the rising interest rates,

home. Rates are increasing from the historical lows of

according to Guaranteed Rate Senior Vice President of

2020 and 2021, but are still, generally, at a reasonable

Mortgage Lending Jennifer Beeston, is to regularly check

rate. He said there's no need to panic just yet.

in with your lender.

Although a higher interest rate will increase your monthly

"The best thing you can do is make sure you are keeping

payment, the change might not be as drastic as you'd

good tight contact," Beeston said. "Because if you are

expect.

pre-approved in October or November and you haven't

For example, a few months ago, you may have been

checked in, you may not qualify now."

able to lock in a 3.5% rate on a 30-year mortgage for

Beeston also suggests that prospective buyers ask to be

$300,000. Your monthly payment on the principal and

a second, or even third, option when applying for a home

interest would have been $1,347.13.

in case the first buyer's purchase falls through. As rates

Let's say you apply for a mortgage for the same amount now, but you lock in a 4% rate instead. With the higher rate, that monthly payment is $1,432.25. Yes, you'd

increase, some people may realize they can no longer afford the same home they could just weeks before.

"Everyone wants to time the market," Beeston said, "but the market is impossible to time."

17 / Financially Speaking

5 Ways To Make Your Home More Energy Efficient By: Victoria Masterson, with weforum.org Gas, electricity and coal prices are soaring, meaning higher bills for many households.

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Energy costs are climbing, fuelled by

rising demand and weak supply.

•

For homes, it means gas and electricity

bills are going up.

•

Simple changes can save money and

help make your home more efficient.

A range of factors have contributed to the

current energy crisis, the International Energy Agency (IEA) says. These include

Hemisphere.

Governments are under pressure to take action. In Norway, for example, the government has announced plans to subsidize home electricity bills until March 2022 at an estimated cost of 5 billion Norwegian crowns ($560 million).

This is in response to the cost of electricity surging to its highest level in more than 10 years.

So how can more of us save energy at home? Here are some simple ideas.

rapidly rising demand as the world

Thermostats that control the temperature

economy has rebounded from the

of hot water and radiators can be turned

pandemic. Power supply has also been

down to make instant savings at no cost.

weaker than expected, alongside a cold

According to the US Department of

and long winter in the Northern

Energy’s Energy Saver site, a water

18 / Get Energy Efficient

heater set at 140º is too high. For most homes, 120º is sufficient, and could add up to savings of more than $400 a year.

Put a lid on it EnergyMeasures, an initiative to reduce energy poverty in seven European countries, lists a range of low or no-cost

energy saving ideas, including covering pots with lids while cooking to save energy and reduce condensation. Batch cooking – preparing larger quantities of

organization which gives energy

food when cooking – is another way to

efficiency advice. Its tips include sticking

potentially save time as well as energy.

draught-proofing strips around window

Switch suppliers

Shopping around could be a way to find a better deal for your energy service,

frames and filling small gaps around pipework.

Keep cool for less

suggests the Australian Energy

Cooling can be costly too, with air

Regulator, which regulates wholesale

conditioners and electric fans accounting

electricity and gas markets in Australia.

for 20% of global electricity use,

It’s worth also checking whether your

according to the IEA. In its Tracking

existing supplier can give you a better

Cooling 2020 report, the IEA says

deal. Online price comparison tools can

cooling is the fastest growing energy

help compare offers.

demand in buildings, but most

Plug energy gaps Draught-proofing is a cheap and

consumers are using inefficient air conditioning units. Its report mentions the Eco-cooler, an economical zero

effective way to save energy and money electricity air conditioner that was in any type of building, according to invented in Bangladesh and uses plastic the Energy Saving Trust, a UK-based

bottles to suck air into homes.

19 / Get Energy Efficient

Legal Tips For First Time Landlords From: rocketlawyer.com Becoming a first-time landlord can be a lot of

gives you legal rights that would be more

work, but there’s also the promise of a lucrative difficult to prove without documentation. It also business (and regular rent checks). When

makes it clear that both parties have agreed to

you’re first starting out, beyond the basics of

specific terms that you can both reference later

getting the property purchased and ready to

if there is a dispute.

rent out, remember that setting yourself up for success also means having the proper legal

Get a security deposit.

protections in place—and being proactive with

Collecting a security deposit communicates to

legal issues could save you from big legal bills

the new tenant that you care about the

and hassles down the road. Here are some

condition in which the tenant keeps your

guidelines to help protect yourself when you’re

property. It also gives the tenant motivation to

starting out as a new landlord.

keep the property in the same condition in which it was first rented. If the tenant doesn’t

Put it in writing.

It seems simple but putting everything in writing can be the smartest thing you ever do as a landlord.

keep the property in good condition or

damages it, you may be able to keep a portion or all of the deposit to pay for repairs or additional cleaning. Make sure you have the tenant fill out a Renter’s Inspection

The most important item to put in writing is the

Worksheet when the tenant first moves in to

Lease Agreement between you and the

reduce disputes about the initial condition of the

tenant. If you ever have problems with the

apartment.

tenant, the Lease Agreement protects you and

20 / The Legal Corner

Know the tenant financially.

Understand your rights as a

It’s your responsibility to vet your potential

landlord.

tenants. Start by having them complete

Although the

a Rental Application, which will help you

renter has

collect the information you need to screen

rights, so does

your potential tenants. Next, take the time to

the

verify their good credit and their employment,

landlord. For

which will help you determine their ability to

example, you

pay the rent. Keep in mind that it’s much

should be able to enter the property when

easier to find another potential tenant than it

necessary for maintenance with the

would be to evict a tenant who can’t pay the

appropriate amount of notice given to the

rent. Of course, you also need to follow any

tenant. You also have the right to evict a

laws that protect tenants against housing

tenant if they are not upholding their end of

discrimination, but the inability to pay the rent

the lease. You can use an Eviction

generally can be used to disqualify a potential Worksheet in this case, but before you get in tenant. You may also use a Letter to Request this situation, it’s smart to understand the a Credit Reference to verify the prospective

legal process for evicting a tenant in your city

tenant's good credit, and/or ask the tenant's

and state, since it varies by locality.

employer for a Salary Verification Letter.

Understand the Tenant's rights, and Understand key lease terms, like

your obligations to protect them.

rent, maintenance, utilities, etc.

Familiarize yourself with your state’s laws that

Make sure you know and follow the terms of

protect the tenant’s rights, and any applicable

the lease you’ve signed. If you create a

city or county laws that might affect

document and then flaunt the terms, your

you. Consult the Hud.gov Tenant Rights

tenant could take you to small claims court

resources by state to find out more about the

and you could be found liable. You could also laws in your area. get in trouble with local housing authorities. In This article contains general legal information addition, if you don’t follow the lease terms (by and does not contain legal advice. Rocket not maintaining the property, for example), it Lawyer is not a law firm or a substitute for an makes it harder to enforce regulations of the attorney or law firm. The law is complex and lease that you do want the tenant to follow— changes often. For legal advice, please ask a like paying the rent on time. lawyer.

21 / The Legal Corner

For More Information Visit Our Website: landlordcollections.net Give Us A Call: (800)-369-6153

Let Us Bear Your Junk!

From: Rob Paradis, Owner of Junk Bear Hello, My name is Rob Paradis. I am the owner of a local Junk Removal company here in Southington, CT. I wanted to reach out to let you know about our services. If your company is looking for a reliable vendor with a great customer service track record.

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Services we offer:

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Dumpster area clean ups Property clean-outs/ Estate cleanouts Eviction clean ups

Give us a call (phone) 877-877-JUNK Appliance removal or (cell) 860-517-9872 Old furniture removal Email: junkbear2019@gmail.com Instagram: @junk.bear Facebook: @JunkBear Website: www.junk-bear.com Sincerely, Rob Paradis, Owner Operator 24 / Vendor Spotlight

Hot tub removal Light demolition and more!

Have a tenant that has left a place trashed? Or left a large item next to the dumpster that waste management won’t take? Need a reliable service?

23 / Vendor Spotlight

Sample Criteria For Accepting Or Rejecting A Rental Applicant By: Paul Jenney, Compliance Officer with TenantTracks This is not intended to Replace Legal

5. Any records of criminal activity that that

Advice, we suggest you consult your

property owner would deem puts the

own attorney when creating your tenant

property, its owner or other residents at

selection criteria

risk, including, but not limited to, sex

1. All information on the application is correct; any factual errors are an automatic rejection.

offences, violations of the US Patriot Act covered by the Office of Foreign Asset Control or other international judicial authorities, arson, domestic violence, any

2. The application is signed and dated and other crimes of violence, weapons has authorized the property owner to violations, etc. Criminal records may be conduct a background check.

reported indefinitely under the FACTA

3. Any criminal record of drug dealing, drug update of 2003.

trafficking, manufacture, or distribution are

6. Eviction History. How long ago is

an automatic rejection.

acceptable? How many evictions? The

4. Any record of prostitution, illegal

reason for the eviction? The FCRA only

gambling, or any other crime that would

allows TenantTracks to report eviction

violate State laws regarding illegal use of a

records for seven (7) years. (Create your

rental property are an automatic rejection.

own policy and stick with it)

26 / Tenant Screening Tips & Tricks

7. Landlord History. TenantTracks may

the rental market tanks and you lower

only report information obtained from

your score requirement to attract more

owners and management companies for

potential renters (and accept more risk)

seven (7) years including notices to quit,

and vice versa, if you get more

noise issues, cash for keys, etc. How

applicants, you raise the score

many? How recent?...again; (Create your requirement. own policy and stick with it)

9a. If you are accredited to receive a full

7a. Landlord References. If they are a

credit report, then how many thirty (30),

career renter, I would ask for the last

sixty (60), ninety (90) day late-payments

three at minimal, and then call the second do you allow? How many collection two. They have nothing to lose by giving

accounts? How many charged off

the truth, but grill them about the

accounts (unpaid debt)

information, last addresses they gave on that application (might be hiding something), and did they pay the rent on time/in full/how many late-payments, any problems. This may seem like

10. IF employed, how long should they have been there? Can you independently confirm this? I recommend calling the HR

Department and faxing/emailing a release to provide you with the information, as an

“Landlording 101”, but this is helpful information on how they will perform as your tenants.

alternative you can ask for a copy of the applicant’s last tax return, if not employed, ask for proof of income.

8. If your property is carpeted, do they own a vacuum cleaner? It's a strange criterion, but you want to protect your

investment so it IS a fair question to ask.

9. Credit History. What is the minimum

Have a potential tenant you need screened? Visit tenanttracks.com for all your tenant screening needs!

Vantage Score to be accepted? This will vary by property. We recommend that the criteria is signed and dated and can be updated as market conditions change e.g.

Know Who You Are Renting To!

27 / Tenant Screening Tips & Tricks

What’s Happening Near You? The Statewide Events and Meetings calendar is a resource for local landlords and property owners to meet up, network and grow your real estate opportunities.

Get Involved, Stay Informed.

April 2022 Sun

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NHMR

Events & Meetings & Networking

Connecticut Property Owners Alliance (CTPOA) )

Connecticut Real Estate Investors Association (CTREIA)

Connecticu Estate Inve Associat (CTREIA

Next Meeting: April 14th

Next Meeting: April 18th

Next Meeting: Apr

Time: 5:30 PM

Time: 5:45 PM - 9:00 PM

Time: 5:45 PM - 9:

Where: Fireside On Main 42 W. Main St Plantsville, CT 06479

Where: Sheraton Rocky Hill 100 Capital Blvd.

Rocky Hill, CT 06067

Where: Keller Willi 2777 Summer St, S Stamford, CT 0690

Contact: (800) 369-6153

Contact: (860) 265-4414

Contact: (860) 265

About: Join us for a landlord social at the brand new Fireside On Main in Plantsville on Thursday, April 14th starting at 5:30pm. Come for food, drinks and important talks of potential legislation affecting ALL of us.

About: How to earn 5 figures a month wholesaling in the super-hot 2022 market and beyond!

About: How to ear figures a month wh in the super-hot 20 and beyond!

ut Real estors tion A)

New Haven Middlesex Realtors (NHMR)

ril 19th

Next Meeting: April 28th

:00 PM

Time: 11:00 AM - 1:00 PM

iams Suite 700 05

Where: Zoom Meeting Contact: (203) 234-7700

About: Low inventory has been a major limiting factor in real estate markets rn 5 across the U.S. for months. holesaling In fact, in a recent NAR 022 market survey, Agents listed low inventory as the #1 challenge they face today.

When markets shift, the core marketing channels of top agents remain the same. They have a welldefined marketing plan they consistently execute regardless of market conditions.

5-4414

For more information and to register for this event, please click here.

Have An Event Or Meeting You Want Advertised In Next Months Edition?

Email Us the information and we’ll be glad to include it in the January edition of our E-Magazine!

Email: info@ctpoa.com Or give us a call: 800-369-6153

P. (800)369-6153

F. (888)900-9773

E. info@ctpoa.com

www.ctpoa.com

CT Real Estate Today allows you to hit your target audience for all things real estate.

Contact us at info@ctpoa.com

ADVERTISE WITH US!

Becom

V

The Conne composed o REALTORS improve the bu

Follo

me a CTPOA Member!

Visit: https://ctpoa.com/

ecticut Property Owners Alliance is of experienced property managers, S and landlords working together to usiness conditions for rental property owners.

ow CTPOA: https://www.facebook.com/CTPOA/

About Us Advocates For Property Owners The Connecticut Property Owners Alliance is composed of experienced property managers, realtors and landlords working together to improve the business conditions for rental property owners. The Alliance saves its members money on essential real estate services, reviews and testifies on pending legislation & law changes and offers its members workshops and meetings on topics that impact landlords.

Why The Property Owners Alliance Was Formed The Alliance strives to ensure your success in real estate by: •

Saving you money on essential real estate services

•

Informing you of law changes impacting your business

•

Providing workshops and meetings to help you become a better educated and prosperous rental property owner.