Small landlords, those owning four or fewer rental units, are typically not professional landlords. They may be renting out their first investment property, or even a property they once lived in or intend to live in at a later date. But in Washington, DC, even small landlords must complete critical paperwork, and oversights can be costly and leave a landlord in a very precarious position.

What are the most common mistakes for small landlords in Washington, DC?

Landlords in Washington, DC are required to obtain a Basic Business License (BBL) before entering into a lease agreement. Not having an active BBL at the time the lease agreement is signed can void the lease agreement altogether and put the landlord in an oral lease agreement. Moreover, recent changes to regulations require landlords to provide a copy of an active BBL when filing for nonpayment of rent. 

But having a BBL is not all small landlord needs to do. Under DC landlord tenant law, all rental units are presumed to be subject to rent control. Small DC landlords, those holding four or fewer properties, are exempt from DC rent control laws, but must take affirmative steps to register the rental property as exempt from rent control. A landlord's failure to register the property as exempt from rent control will limit the landlord's ability to increase rent, issue valid notices to cure lease violations, and pursue a case in court. Even worse, a landlord could be order to refund the tenant for rent paid above the authorized rent level.

How is landlord-tenant law in Washington, DC changing?

The DC Rental Housing Commission recently upheld the ruling of the Office of Administrative Hearing finding that a housing provider illegally increased the rent for the rental property when the tenancy began, awarding the tenant over $12,000.00 for rent overpayments and rolling back the rent by more than $500.00 per month. 

Even though the landlord qualified for the small landlord exemption and actually registered the property as exempt a year after the tenancy began, the Office of Administrative Hearings still found that the landlord violated the law. 

Do I need a lawyer to be a landlord in Washington, DC?

There can be no worse scenario for a small landlord in DC than to end up in an unwritten lease and subject to rent control because of missed paperwork or overlooked bureaucratic requirements. The Law Office of Alfredo Vasquez can help small DC landlords avoid costly oversights that can jeopardize a landlord's ability to recover the rental unit or increase the rent.

Contact our office today to see how we can help small landlords navigate DC's complex and ever-changing legal landscape.