Have you looked into registering your rental property in your county?
Depending on where you live, you may be required by law to register your investment property. Municipalities collect the information on the home to enforce ordinances and codes in that area. The more information they have, the safer they can make that community.
In Arizona, any property that is rented for residential purposes must register certain information related to the property and its ownership in the county which the property is located. Here are some frequently asked questions on the Maricopa County Assessor’s Office website.
Enforcing codes such as having enough smoke detectors or assessing the needs for fire and ambulance personnel in an area are all based on the figures that they collect. They will also use the information gained by registering your rental property in a census-like manner to collect figures that should contribute to property taxes in that area.
To check if you should be registering your rental property, you can check in with a property manager in your area. They can point you in the right direction and can even offer you advice on how to get your property registered faster.
As a landlord, registering your rental property may seem like just one more task on a never-ending to-do list, but it’s vital that you don’t skip this step. You could potentially be denied a license and face large fines. For example, in Baltimore County they have fines of, “…$25 per day for each day a violation occurs and $200 per day for each day a correction notice is not complied with, and there will be a $1,000 fine for not complying with the Rental Registration Law.”
…Yikes, you can probably see how quickly these fines can add up!
You may also be required to get an inspection. If you pass, then your home is safe and up to code. They check for things like working smoke detectors, the electrical and wires free of any obstacles, and functional plumbing.
The important thing to remember is that not every county is the same. What one county may require, another may not. Even if you think you’re a pro at registering your rental property and have done so previously, it may be wise to make sure that you’re up to date on all of your forms. Nobody likes being slapped with unexpected expenses, especially if you can avoid them.