Buying a Nevada Foreclosed Property for Rental Income? Learn about Landlord and Tenant Laws
If you’re planning to purchase a bank-owned, or real estate-owned (REO), foreclosure property in Nevada for rental income, be sure to find out what rights you have as a landlord, as well as what laws there are to protect tenants. When buying a foreclosed home to rent out, the first thing you’ll want to do is find out if the home is currently occupied. If it is, the current tenant will have rights, and you’ll need to find out what they are. Rights to remove tenants are different when a home is foreclosed on than they are when the owner voluntarily sells the home.
Start with the federal laws. Those will usually trump most state laws, unless the state laws are more in favor of protecting the tenants. When you buy a foreclosed home that is occupied, make sure you understand how the occupants are protected under The Helping Families Save Their Homes Act of 2009. If the current tenants were not the owners who were foreclosed on (or family members of the owners), you’ll need to give them 90 days notice of eviction if they were renting month-to-month. However, if they signed a lease, then you will have to allow them to stay until the end of their lease. An exception to this is if you are planning to live there yourself, in which case, you just need to give the tenants 90 days notice of eviction.
Once you’ve figured out what to do about the current renters, it’s up to you to decide whether to sign a new lease with those same renters or find new renters. In either case, you will have certain responsibilities as a landlord, and those will vary by state. Here are some things to keep in mind if you’re planning to become a landlord in the state of Nevada:
- Evictions – If you need to evict a tenant in the state of Nevada, expect the process to take 10-180 days. The amount of time it takes depends on the reason for the eviction (including, but not limited to, failure to pay rent and nuisance-related issues), as well as the type of rental (weekly or monthly). If tenants do not remove their personal items from the property before the eviction occurs, you’re required by Nevada rental law to store their items for 30 days. You will also have to inform the evicted tenants in writing by certified mail before the last 14 days that they their belongings will be thrown out after 30 days. However, you can charge a reasonable storage fee. Find out more about the different types of evictions and the process of evicting tenants in Nevada on RentLaw.com.
- Lease Termination – As a landlord in Nevada, you’ll have to give your tenants 45 days notice before canceling a lease. Read more about lease termination in Nevada.
- Security Deposits – Unless you have lawful reason to keep a tenant’s security deposit, you must return the security deposit within 30 days of lease termination. Get more info on Nevada laws related to security deposits.
- Landlord and Tenant Forms – Make life easier by having copies of legal documents for Nevada landlords and renters printed and ready to use when you need them. You can download landlord and tenant forms on www.uslegalforms.com.
- Maintenance and Upkeep – You, as the new property owner, are responsible for the maintenance and upkeep of the property. Be sure to respond within a suitable amount of time and address any legitimate issues appropriately. In fact, be proactive when you first take ownership and ask the tenants if everything is working properly. For more information about maintenance responsibilities and rights to inspect, read about the Landlord Right of Entry Laws in Nevada.
Of course, there is a lot more information out there to be learned about the implications of buying cheap houses to rent. Make sure you are diligent about learning your rights and your tenants’ rights at the federal, state, and local levels. Renting out a property can be a great investment, but you have to know the property and laws before you really know what you’re getting yourself into as a landlord and an investor.
Learn more about Federal and Nevada Rental Laws:
National Low Income Housing Coalitions’ Renters in Foreclosure Toolkit
Nevada’s Local Tenant Rights, Laws, and Protections from HUD.gov
Know more: Reo foreclosure homes
I know someone who is a resident of Las Vegasand may be interested in buyinga home to rent out. I am interested in finding out the best areas to obtain rentals and seeking advice how to find management companies that could help out. Thanks.
Hi Anita,
Sorry for the long delay. If your interested in knowing more about buying and renting, contact us. We can help with locating the right home in the area that best suit your needs. We offer rental comparables to help with your rate of return(ROI) on the rental.We also do courtesy listings when you purchase through us. Visit our web site to contact us: http://www.Vegas-REO.com (copy paste)