How To Protect Yourself From Liability As A Landlord In Texas

As a landlord in Texas, protecting yourself from liability is essential to running a successful rental business. From creating a strong lease agreement to ensuring compliance with housing laws, taking the right precautions can help you avoid legal pitfalls and costly disputes.

This article outlines key steps to reduce your risk, including proper documentation, routine maintenance, and clear communication with tenants. By proactively addressing potential issues, you can safeguard your property, maintain positive tenant relationships, and limit your exposure to liability.

Key Takeaways

1. Using a vetted lease agreement like the Texas Association of Realtors (TAR) Lease can help reduce liability by covering essential legal protections for landlords.
2. Regular property maintenance and proactive inspections minimize liability by addressing potential hazards early and preventing costly damages or injuries.
3. Clear, documented tenant communications and adherence to non-discriminatory rental qualifications protect landlords from legal disputes and discrimination claims.

What Should I Include In My Lease Agreements To Minimize Liability In Texas?

To minimize liability in Texas, it’s worth using the Texas Association of Realtors (TAR) Lease Agreement, which is widely recognized and regularly vetted by attorneys and industry experts. This lease is comprehensive and designed to meet state requirements, covering key areas such as rent, maintenance, and tenant responsibilities.

Using this standardized lease reduces the risk of missing important legal protections. While some unique tailoring may be needed for specific situations, creating your own lease or using an unfamiliar template can lead to legal complications. The TAR lease provides a solid foundation to minimize liability and protect your interests.

How Does Regular Property Maintenance Reduce Liability In Texas?

Regular property maintenance reduces liability by allowing landlords to catch issues early, ensuring the property is well-maintained and the tenant is properly caring for it. Routine inspections help identify potential problems, such as malfunctioning appliances or structural concerns, before they lead to costly repairs or safety hazards.

For example, regularly draining a water heater can extend its lifespan and prevent a sudden failure that could cause flooding and extensive damage, potentially costing tens of thousands of dollars in repairs. Stay proactive with maintenance so as to avoid larger issues, minimize repair costs, and reduce the risk of liability from property damage or tenant injury.

How Can I Avoid Discrimination Claims Under Texas And Federal Law?

To avoid discrimination claims under Texas and federal law, it’s important to establish clear, objective qualifications for tenants and stick to them. These qualifications might include income requirements, credit history, or no prior evictions. Avoid considering any factors unrelated to these qualifications, such as race, gender, ethnicity, or other protected characteristics.

If you happen to learn information about a tenant applicant that relates to protected categories, ensure that your decision is based solely on the predetermined qualifications. This consistent, objective approach helps you comply with fair housing laws and avoid potential discrimination claims.

Richard Cahan, a seasoned attorney in Texas, has extensive experience guiding landlords through property management and lease agreements. His deep understanding of state laws and focus on minimizing liability have enabled him to help countless property owners protect their investments and avoid costly legal disputes. Richard's proactive approach to lease drafting, tenant communications, and maintenance strategies will ensure you are fully prepared for any landlord-tenant issues.

If you're looking for tried and true legal advice to safeguard your rental property, Richard Cahan can provide the tailored solutions you need.

How Should You Document Tenant Communications?

To protect yourself as a landlord, it’s wise to document all communication you have with your tenants. Emails or text messages create a clear, trackable record of conversations. Here are some keys to approaching it:

Email

Preferred for formal communication because it is easy to track, store, and present as evidence if necessary.

Text Messages

Acceptable if emails aren’t feasible, but make sure to take screenshots and save important texts before they are deleted.

Phone Calls

Avoid phone calls if possible. If you must have a phone conversation, record it (Texas is a one-party consent state, meaning you can legally record the call without notifying the other party) and save the recording for potential future transcription. The preferably follow up the call with an email documenting what was said or the resolution agreed to.

Documenting communications in this way helps ensure there are no misunderstanding or dispute over what was said, giving you a solid defence if issues ever arise.

Preparing For Landlord-Tenant Issues: Tips For Meeting With An Attorney

The most important thing I wish potential clients would do is contact an attorney early—before issues escalate. Many landlord-tenant problems can be prevented with timely legal guidance, but by the time most people come in, their situation has already spiral to a much worse place than it needed to be, such as allowing a tenant to fall behind on rent for months with no action taken.

Consulting an attorney at the first sign of trouble, such as when rent is overdue, empowers you so you can take the appropriate steps, like sending a notice to vacate, while still leaving room for negotiation if the tenant pays. Early action helps protect you from lengthy and costly legal processes down the line and financial losses, saving both time and frustration.

Still Have Questions? Ready To Get Started?

For more information on Protecting Yourself From Liability As A Landlord In Texas, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling (512) 829-6100 today.