tenantlawThis is a follow up to Rental Restrictions within an Association.

 

As you know many associations were adding rental restrictions and affecting the rights of Unit owners after the close of escrow.

Click on the dated that it is effective for a reading: October 1, 2009, NRS 116.  A summary of the modifications are: 

Rental Restrictions Cannot Be Added After Purchase of Unit:

The modified rule is now if at the time you purchased your unit there is NOT a restriction on rental; it cannot be restricted in such a manner.  Similarly, if a restriction to ask for approval to rent is not in place at the time of the purchase of a Unit, the rule to ask for approval cannot later be placed on the Unit.

Restrictions May be Waived by Board

If your Unit has such a restriction, the owner may by law, “may seek a waiver of the prohibition from the executive board based upon a showing of economic hardship, and the executive board may grant such a waiver and approve the renting or leasing of the unit.”  This allows the Board to approve a rental, above the maximum, by law, without necessarily violating the Declarations.

The Calculations of Number of Rental Units Shall Not Include Owner Inquiring

And finally, “if the declaration contains a provision establishing a maximum number or percentage of units in the common-interest community which may be rented or leased, in determining the maximum number or percentage of units in the common-interest community which may be rented or leased, the number of units owned by the declarant must not be counted or considered.”  What?  I think it means that if the current number of units already rented is the maximum but if you own a unit, you may still rent, as you may calculate the percentages and exclude your unit(s) in the calculation.  So when calculating the person seeking to rent may count all of their rentals as one (1) unit.

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