Introduction
The District of Columbia is a tourist destination, college
town, and a bustling city for young, successful professionals. With a median
Zillow rent price of $2,523, it also boasts one of the highest rental rates in
the country. Although this all sounds like a great spot to invest, it is
imperative that you know the ins and outs of real estate law in the area before
you sink your hard-earned money into a property there. Here are some of the
most important rental laws to know for landlords in D.C.
Required Disclosures
In D.C., there are numerous disclosures that your tenants
must legally be informed of prior to moving in. Here are a few of these
required disclosures:
- If there are pending petitions filed by the tenant or
housing provider that have implications for the following year, such as rent
increases, the landlord must disclose that information. They must also disclose
whether there are any rent surcharges for the unit like capital improvement
surcharges, and they must disclose what those surcharge expiration dates are.
- Landlords must inform tenants of any rent increases for
the unit and the frequency that they will be implemented. With this
information, landlords must also provide a pamphlet created by the Rent
Administrator that explains rent increases and the corresponding laws and
regulations.
- All code violations for the unit, nonrefundable fees, and
past and current existence of mold must be disclosed to the tenant in
writing.
- If the housing accommodation is currently undergoing
conversion into a condominium, cooperative, or another non-housing use, the
landlord must disclose this information.
- All ownership information must be disclosed to the tenant,
and landlords must provide a copy of the Tenant Bill of Rights, Voter
Registration Packet, and a receipt for their security deposit.
Rent and Fees
D.C. landlord tenant laws lay out rules for landlords when collecting rent and
other fees from their tenants.
Firstly, it's important to note that some properties in D.C.
are rent controlled. Rent increases in this territory are subject to the Rent
Stabilization Program established by the Rental Housing Act of 1985. This
program requires units to be registered as either subject to or exempt from
rent control. Units that are exempt could include subsidized rentals, those
built after 1975, or owned by a smaller landlord with less than four
properties.
D.C. also has laws regarding the amount of certain fees.
Rental application fees, for instance, are capped at a maximum of $50 in D.C.
Late fees must be less than or equal to 5% of the remaining amount due, and
landlords are prohibited from charging interest on the fee, deducting the fee
from a later rent payment, imposing a late fee on more than one late payment,
or evicting a tenant solely on the basis of not paying a late fee. D.C. also
has a mandatory grace period of five days, meaning tenants have at least five
days to pay rent after the due date before landlords can legally apply late
fees.
Evictions
According to the D.C. eviction process, in situations of
rent nonpayment, landlords must give tenants at least 30 days to either pay
their rent or quit the property. However, a landlord can only start evictions
proceedings if the rent due is at least $600.
If the tenant has committed a lease violation, they have 30
days to cure their violation or quit the property.
D.C. landlords may send an unconditional notice to quit when
the tenant has performed an illegal act in the rental unit. Again, the tenant
has 30 days to vacate before the landlord can file for eviction with the court,
but the landlord does not have to offer the tenant an opportunity to remedy
their violation.
Security Deposits
D.C. security deposit laws state that landlords may not charge more than one
month's rent for a security deposit.
Landlords are required to pay interest on their deposits,
and that interest must be returned to the tenant after their tenancy has been
concluded. The landlord also should post a clearly visible notice in their
lobby specifying where the tenant's deposit is behind held, and what interest
rates apply that year.
Security deposits must be held in a separate,
interest-bearing escrow account, and the security deposit must be deposited
into that account within 30 days of receipt.
Deposits must be returned within 45 days after a lease
terminates. If the landlord withheld any funds from the deposit, they must be
for violations of the lease agreement only, not for anything that could be
classified as normal wear and tear.
Conclusion
Before you enforce your own rental policies, make sure that
you know the law in your area. D.C. has more regulations than many other
states, so it may be a good idea to double-check your lease agreement with a
trusted attorney before you implement them.
