Last year California passed Assembly Bill No. 2801, which places new demands on rental housing operators. The law, which goes into effect April 1 of this year, limits what operators can deduct from a tenant’s security deposit in order to return a home to its pre-move-in condition. Operators may only charge for reasonable repair damages and not for ordinary wear and tear or professional cleaning services (unless deemed necessary).
The new restrictions also mandate photo documentation and itemization of claims upon move-out, necessitating formal inspections of the property. While these requirements may sound daunting, there are a few simple ways to incorporate them into your operation’s workflow. By having a system already in place, you can simplify the move-out process, reduce administrative burden and minimize the risk of tenant disputes.
Capture images at move-in
It’s important to know the condition of a rental property when a tenant first moves in so you can be aware of any excessive damage when they move out. While it’s common to do a walk-through inspection with a resident, team members often just take notes on paper or snap pictures on their phone, making it difficult for others (or themselves) to find these details months or years later.
Using a mobile app like Work Management can help store and document the state of a home’s pre-move-in condition. The app will automatically upload time-stamped photos and send an itemized report to residents and your team so everyone has the same information right from the start.
Track repairs and maintenance requests
California AB 2801 allows operators to recoup costs for reasonable damages. A responsive on-site maintenance team should be able to limit the amount of repairs needed and lower the risk of surprises at move-out. However, sometimes residents find it difficult or time-consuming to schedule repairs and leave possible issues until the last minute.
An integrated platform simplifies tracking damage and scheduling maintenance requests. Residents can easily take pictures and enter descriptions of what needs to be fixed. The on-site team can then document the repair steps taken and upload before and after photos. This digital footprint helps mitigate potential disagreements with tenants about the state of a home after move-out.
Automate scheduling inspections
AB 2801 requires an inspection and itemized statement of any claims deducted from a security deposit within 21 days of move-out. Although the legislation doesn’t state the resident must be present during the time of inspection, many will want to be there in person. However, work schedules and other commitments can make it challenging to find a time for a property manager and former tenant to meet.
The ability to communicate with residents after hours and on weekends can help expedite scheduling an inspection. SmartRent’s Work Management allows residents to send messages when it’s convenient for them. Since they can also view pre-move-in photos along with their maintenance history, the inspection itself becomes quick and painless for all parties involved.
Streamline for success
California AB 2801 continues the effort to combat rising housing costs in California. Advocates view the legislation as a necessary step to level the playing field for renters, while opponents see the new restrictions as another obstacle that makes it difficult for operators to protect their assets.
Fortunately with SmartRent’s Work Management solution, operators can lower the compliance hurdle through a comprehensive inspection and maintenance platform. By having consistent documentation and communication in place from the beginning, operators already have tools in place to optimize revenue recovery and remain ready to tackle any changes in the ever-evolving rental housing landscape.
Ready to protect your property? Schedule a quick 15-minute demo to see how easy SmartRent makes it to be AB 2801 compliant.