Florida landlord-tenant laws are put in place to protect the rights of both tenants and landlords in the state. Read on if you’re investing in FL.
In this blog, we will briefly go over Florida tenants’ rights and what a landlord cannot do in Florida, along with some other important matters about rental property investing in Florida.
Table of Contents
- #1: Fair Housing Act
- #2: Written and Unwritten Leases
- #3: Paying Rent
- #4: Condition of the Rental Property
- #5: Lead-Based Paint and Radon Gas
- #6: Tenant Privacy
- #7: Rent Control and Rent Increase Laws
- #8: Breaking a Lease Agreement
- #9: Security Deposit Laws
- #10: Eviction of a Tenant
- Top 5 Florida Cities for Traditional Rental Investment
Landlord-tenant laws cover every right and law that each tenant and each landlord has in their specific state. Whether you own condos, apartments, multi-family homes, or any other rental properties, it is very crucial to understand the laws that regulate rental properties in your city or county. Landlord-tenant laws deal with issues ranging from rent increases to evictions.
Florida is one of the best states to invest in real estate, so you may be considering buying an investment property in the state very soon. Anyone who owns a rental property in Florida must know the Florida rental laws. The rights and responsibilities of both landlords and tenants are established under the Florida Landlord Tenant Act.
Disclaimer: The following is only a brief overview of Florida laws. This article was written for educational purposes only and is not meant to take the place of formal legal advice. Be sure to consult with a local attorney to ensure compliance with the law when drafting and enforcing a Florida lease agreement.
Here are some of the Florida landlord-tenant laws real estate investors should get familiar with:
1. Fair Housing Act
One Florida landlord-tenant law implemented in the Sunshine State is the Fair Housing Act. The Fair Housing Act protects renters’ rights in Florida from unlawful denial of access to housing due to any form of discrimination.
According to the Fair Housing Act, Florida landlords cannot ask potential renters questions about medical history, age, any disability, familial status, ancestry, national origin, marital status, sexual orientation, religion, color, or race. Tenants cannot be discriminated against due to any of these reasons.
Every real estate investor is forbidden from the following:
- Refusing to rent out a Florida rental property
- Setting different privileges, terms, and conditions for renting an income property
- Providing different housing facilities or services
- Falsely saying an investment property is unavailable for rent, sale, or inspection
- Making any statement in an advertisement that implies preference based on disability, sex, religion, national origin, or presence of children
- Intimidating, threatening, or coercing anyone exercising their fair housing rights
In case the tenant has a mental or physical disability, you must:
- Make reasonable adjustments to practices, policies, and rules if the renter requires them to live on the property
- Make necessary modifications to the rental home so the tenant can live comfortably
While it does its best to ensure fairness between landlords and tenants, tenant rights in Florida are taken seriously by the state.
2. Written and Unwritten Leases
Under Florida landlord-tenant laws, yearly, quarterly, monthly, or weekly leases can be established in both unwritten and written forms. Though an unwritten lease is legal, it is always advisable to work with a written agreement. In case a dispute or problem arises in the future, you will have evidence on paper regarding the terms of the lease.
One thing to note about this particular landlord-tenant law in Florida is that while oral agreements are considered legal, notices to and from landlords must be in writing. For this reason, investors who want to start a rental property business in Florida must always have a copy of any correspondence between them and their tenants.
Again, don’t just take our word for it. Consult with a local real estate lawyer first to get more insight.
3. Paying Rent
Florida rental law requires tenants to pay rent on time according to the terms of the lease. However, the tenant could choose to withhold rent if the landlord fails to fix problems, such as mold growth on walls or a broken heating system.
In such a case, the tenant can give the landlord a written notice seven days before withholding rent. Within this period, the landlord then has a chance to address the problem.
On the occasion that the tenant’s rent is overdue, Florida rental laws state that the landlord should give a three-day notice for nonpayment of rent if they want to evict the tenant. The notice must clearly state nonpayment of rent on its due date, the exact amount owed, and that the tenant has three days to pay, or else they’d be forced to vacate the premises.
However, Florida rent laws also prevent landlords from harassing or bullying the tenant into paying rent. The state takes all forms of harassment seriously.
4. Condition of the Rental Property
After investing in Florida real estate, landlords are required by Florida laws to maintain livable conditions on all their rental properties. This law is put in place to uphold and protect Florida tenant rights.
Pest control must be done, air conditioning must work properly, and the properties should adhere to health, building, and safety codes. Landlords are not allowed to switch off utilities in a home even if the renter has not paid the bills. Instead, failing to pay bills can be a reason to pursue eviction.
So before you go on a Florida housing search, make sure that you have the capacity to provide renters with a habitable home.
5. Lead-Based Paint and Radon Gas
In 1978, the federal government banned the use of lead-based paint in housing and construction. This applies across all US states, including Florida.
Though you are not required to remove lead-based paint from pre-1978 homes, the Florida landlord-tenant law requires you to inform tenants that it is there before they sign the lease. You need to provide the renter with:
- Information about other common spaces or units that have lead-based paint
- An EPA-approved document about identifying and dealing with lead-based paint hazards
- A lead warning statement attached to the contract that warns renters of the presence of lead and that you have complied with all the required notifications
When it comes to radon gas, Florida laws require you to inform tenants via a document of the health hazards to people exposed to it over time. Florida Statute 404.056 requires radon testing for some 24-hour care facilities, schools, and daycare centers. While it was previously required on a state level, only certain counties currently require radon testing.
At this time, there are two lists that indicate which types of properties should undergo radon testing in a particular county. One list is for buildings classified as single-family homes or duplexes that still meet the building code. The other list is for all other building types.
6. Tenant Privacy
Florida landlord-tenant laws also protect a renter’s right to privacy. The tenant has the right to peaceful and private possession of a dwelling. Once a property is rented, it is to be used by the tenant lawfully.
According to the law, landlords may enter their tenant’s home occasionally for reasons such as repairs, inspections, improvements, decorating, or showing to contractors or potential buyers. However, you must have the tenant’s permission before doing so.
The only time you can enter without consent is if there is an emergency. If you need to make repairs, the tenant should get a notice of at least 12 hours.
7. Rent Control and Rent Increase Laws
While other major markets (like the California real estate market) are enforcing rent control laws, Florida state law prohibits it. You read that right. There is no rent control in Florida, so raising rent is in a landlord’s right.
Typically, however, rent increases can not be implemented on a one-year lease or more until it ends. There are laws that specify how you must deliver a rent increase notice to your tenants, which includes mail or personal delivery.
The laws also state that you cannot increase the rent for reasons such as if the tenant requests repairs or, of course, for discriminatory purposes.
In 2019, a few Florida lawmakers filed bills that would allow cities to implement rent control. However, the closest they can get to it is a statewide limit on increases. Due to this, local rent increase laws are non-existent in Miami, Orlando, Tampa, and other Florida cities.
The only exception to this is a housing crisis that causes public menace. When this happens, cities may impose temporary rent increase regulations for a maximum period of 12 months.
The state has not given a specific time frame for a written notice to be given to the tenant if the landlord ever decides to raise their rent. However, even with no minimum notice requirements, the state calls on all parties to conduct their business honestly. This strongly implies that the landlord should give their tenant an adequate notice period before raising rental rates.
8. Breaking a Lease Agreement
Tenants are allowed to break their lease under a few specified conditions, which include military service, among others. However, Florida landlord-tenant laws also clearly state that if a tenant was to move out earlier than the lease expiration date, the landlord must accept this, while the tenant must pay certain fees and give a 60-day notice.
When creating your tenancy agreement, you are allowed to include a lease-breaking/early termination fee. Typically, breaking lease agreements requires tenants to pay twice the monthly rent or forfeit their security deposit. The prospective renter may refuse the fee, at which point you can decide whether or not you wish to rent to them.
However, even if a prospective tenant refuses to accept the terms, the law also states that they should not be denied rental.
When either the tenant or landlord wishes to opt for early lease termination, a notice must be given. Here is the length of time required for an advance notice under Florida landlord-tenant laws:
- Year-to-year lease – 2 months prior to the end of the lease term
- Quarter-to-quarter lease – 30 days prior to the end of the quarter
- Month-to-month lease – 15 days before the end of the month
- Week-to-week lease – 7 days’ notice
9. Security Deposit Laws
Under Florida law, there is no limit to the amount of security deposit you can request. However, you need to check with local city laws as this limit may exist in their jurisdiction.
The landlord is allowed to keep the security deposit to cover unpaid rent or damage to rental property (beyond wear and tear). But they must return the security deposit within 15 to 60 days from when the tenant moves out of the rental property. If any deductions were to be made, the landlord must inform the tenant within 30 days of intention.
10. Eviction of a Tenant
According to Florida laws, the landlord is only allowed to begin the eviction process if the tenant has failed to adhere to the terms of the lease.
In case the tenant has not paid rent by the due date, the landlord must give a grace period of three days (excluding weekends and legal holidays) for full payment to be made. While the law doesn’t require landlords to accept a partial payment, they could choose to do so based on a personal agreement with the tenant.
If the tenant violates the lease by causing damage to the rental home, the landlord is required to give seven days for the problem to be addressed. When this period elapses, the landlord can then pursue eviction. After being served papers, the tenant has five days to file a dispute. The court will then decide whether the eviction should proceed or not.
Besides defaulting on rent or damaging rental property, landlords can issue an eviction notice due to unauthorized visitors on the property. This usually happens when more people are living in the home full-time than is allowed in the lease. Such a situation could lead to more than normal wear and tear to the rental property.
Top 5 Florida Cities for Traditional Rental Investment
Knowing these laws will help you succeed in your rental business and avoid costly mistakes. If you have yet to decide on where in Florida you wish to invest, consider the five cities listed below.
We went over Mashvisor’s June 2024 data to look for rental properties that have generated the highest traditional cash on cash return in the state. This list is ranked from highest to lowest long term rental cash on cash return and has been filtered using the following criteria:
- Each location must have a median property price that does not exceed $1,000,000;
- Each location should have at least 100 active listings in the long term rental market;
- Each location should be generating an average monthly long term rental income of at least $2,000;
- Each location must offer an average cash on cash return rate of 2.00% and above;
- Each location must have a price to rent ratio no lower than 20.
That said, here are the top five Florida cities with the best cash on cash returns on long term rentals:
1. Vero Beach
- Median Property Price: $765,969
- Average Price per Square Foot: $355
- Days on Market: 102
- Number of Long Term Rental Listings: 840
- Monthly Long Term Rental Income: $3,160
- Long Term Rental Cash on Cash Return: 4.44%
- Long Term Rental Cap Rate: 4.50%
- Price to Rent Ratio: 20
- Walk Score: 78
2. Stuart
- Median Property Price: $994,634
- Average Price per Square Foot: $417
- Days on Market: 96
- Number of Long Term Rental Listings: 513
- Monthly Long Term Rental Income: $3,143
- Long Term Rental Cash on Cash Return: 4.08%
- Long Term Rental Cap Rate: 4.15%
- Price to Rent Ratio: 26
- Walk Score: 59
3. Delray Beach
- Median Property Price: $798,303
- Average Price per Square Foot: $652
- Days on Market: 92
- Number of Long Term Rental Listings: 1,627
- Monthly Long Term Rental Income: $3,272
- Long Term Rental Cash on Cash Return: 3.87%
- Long Term Rental Cap Rate: 3.95%
- Price to Rent Ratio: 20
- Walk Score: 54
4. West Palm Beach
- Median Property Price: $936,889
- Average Price per Square Foot: $485
- Days on Market: 103
- Number of Long Term Rental Listings: 2,711
- Monthly Long Term Rental Income: $3,329
- Long Term Rental Cash on Cash Return: 3.74%
- Long Term Rental Cap Rate: 3.81%
- Price to Rent Ratio: 23
- Walk Score: 60
5. Tampa
- Median Property Price: $771,243
- Average Price per Square Foot: $446
- Days on Market: 92
- Number of Long Term Rental Listings: 3,007
- Monthly Long Term Rental Income: $3,154
- Long Term Rental Cash on Cash Return: 3.47%
- Long Term Rental Cap Rate: 3.51%
- Price to Rent Ratio: 20
- Walk Score: 46
Start looking for and analyzing the most affordable long term rental properties with good income-generating potential in your city and neighborhood of choice.
Conclusion
As the number of rental properties continues to rise in the Florida housing market, the rights and responsibilities of both the landlord and tenant become even more crucial.
Real estate investors who own an investment property in the Sunshine State must diligently follow the laid down Florida landlord-tenant laws. It is clear from these laws that Florida has a good balance of protecting both tenants and landlords.
Since Florida renters’ rights are well guarded, investors should be careful not to find themselves in violation of landlord-tenant laws of Florida. However, since a lot of Florida’s rent laws also protect landlord rights, you are not to take advantage of it. As we already mentioned earlier, the state calls on all parties to handle their affairs with honesty and integrity.
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