Addressing Absentee Property Ownership Issues

Why Do Rental Units Become a Problem for Associations?

Boards of directors frequently deal with issues surrounding absentee property ownership. In response, some associations have amended their governing documents to limit the number of rentals allowed in their associations. Many managers agree that the “problem” units in their association tend to be occupied by a non-owner resident. Why? Consider the following two possibilities:

  1. Poor choice of renters by the landlord. A renter may not fully understand or appreciate the lifestyle changes required for a successful residency in a high density development.
  2. Uninformed renters. Renters are sometimes not given a copy of the rules and regulations at the time they signed the rental agreement.

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How to Avoid Problems with Renters

To avoid problems with renters, use education and enlistment techniques. Make sure that all of your residents (both tenants and owners) have been educated on the rules, and that each resident understands what is expected of him or her. Enlist residents’ support and cooperation rather than waiting until there is a problem to make contact. The following items are some ways to carry out education and enlistment:

  • Create a resident handbook.
  • Form an active social committee.
  • Involve non-resident owners.
  • Develop a welcoming committee.

Read more on avoiding problems with renters here.


Adapted from “Resolving Problems with Absentee Owners” by Diane Rossi