Q: For the past eight years I have been renting out my condominium. When I purchased my condo, there was no mention of not being able to rent it out in the future. I have a rental license with the city and have always provided the management company with any requested documents. I have always had good tenants, and there has never been a problem.
Recently, I learned that the properties in the association are at a 48 percent rental capacity, and that rental capacity cannot exceed 50 percent; otherwise new buyers will not qualify for FHA loans. The association needs to figure out how to address this issue. What protection do I, and others who are renting out their condos, have to ensure that we will not be told in the future that we can no longer rent out our condos?
A: A limit on rental capacity is a problem for the entire association, as most of the condo owners will want to sell their condo at some future date, and they would like their buyers to be able to get a mortgage. Whether or not you plan to sell right now, if mortgage companies do not want to issue a mortgage for condos in your complex, this issue will affect you in the future.
Most condo associations have bylaws that control the kinds of rules that a board can adopt. Prohibiting rentals in the complex is the type of change that the bylaws require to be passed by a two-thirds majority vote. Without seeing your bylaws, I cannot say if that is the case here. You should look at the bylaws, and consult with the board as to whether a rule can be passed to prohibit rentals without a two-thirds majority vote.
Since the properties within your association are currently at a 48 percent rental capacity, and your association cannot exceed 50 percent, you and the other owners who are presently renting out your units need to meet with your association or the board and request that all of you be exempt from the ban on renting in the future. You, and others in your position, should discuss with the association the possibility of being “grandfathered-in” going forward, so that you are all allowed to continue renting out your condos; new owners would be banned from renting out their units. Offer to meet with your association or the board and assist them in setting up guidelines that grant an exemption for current owners who are renting out their condos.
If you cannot reach some agreement with the board, you should consult an attorney with experience dealing with condominium law.
Mom wants daughter out
Q: I have a 27-year-old daughter who lives in my home rent-free. Since I have encountered financial hardship, I would like her to vacate my home as soon as possible. Do I have to follow Minnesota law in evicting my daughter from my home, or could I just tell her to move out within a reasonable amount of time, such as 10 days? I don’t want to kick her to the curb, but time is running out, and I am having serious financial troubles.
A: I’m assuming your daughter never signed a lease with you. If that is the case, then you do not need to give her a 30-day notice to vacate or an eviction notice. You can give your daughter a written notice that you need her, along with her personal belongings, to vacate your home within 10 days. If she fails to leave in 10 days, then you may need to pursue the eviction process. However, it is less expensive and much easier to request that she leave in 10 days, or longer if she needs more time, than it is to file an eviction action.
Kelly Klein is a Minneapolis attorney. Participation in this column does not create an attorney/client relationship with Klein. Do not rely on advice in this column for legal opinions. Consult an attorney regarding your particular issues. E-mail renting questions to email@example.com, or write to Kelly Klein c/o Star Tribune, 425 Portland Av. S., Minneapolis, MN 55488. Information provided by readers is not confidential.