Can Tenants Make Improvements Without Landlord’s Permission?

Use these links to jump to different sections:

• Who Is Legally Responsible for Rental Property Improvements?
• Common Tenant-Requested Improvements
• Are Tenants Entitled to Compensation for Improvements They Make to Rental Property?
• Can Tenants Remove Improvements?
• Avoiding a Legal Dispute Over Rental Property Improvements
• Find Experienced Legal Help

Tenants usually cannot make permanent changes to a rental property without their landlord’s permission. Landlords typically handle improvements, while tenants must follow the lease terms. However, tenants often request updates like new paint or fixtures. If approved, you might wonder if compensation is possible or whether you can remove those upgrades when you move out. Knowing your rights and working with your landlord can help avoid legal disputes in the future.

Who Is Legally Responsible for Rental Property Improvements?

Who is responsible for rental property improvements will depend on the improvement type. Structural changes directly impact the fame frame and stability of the building. There are also cosmetic changes that are superficial in nature. Generally, a landlord will not want a tenant making structural changes to their rental property. Most property owners are unwilling to hand that level of control over to the tenant.

Similarly, most tenants are unwilling to invest the cost of making structural improvements on a property they do not own. The lease terms will outline who is responsible for rental property maintenance and repairs. Most states give the landlord and tenant broad freedoms in negotiating each party’s responsibility. However, local and state laws assign specific responsibilities to the landlord that they cannot re-assign to the tenant in the lease.

Kevin Hirzel is a top-rated real estate attorney representing HOA organizations in Farmington, Michigan, with Hirzel Law, PLC law firm. He regularly works with HOAs to prepare governing documents and represent them in a variety of legal matters. He talks about the importance of individuals working with their attorney to educate themselves on the applicable law. “Our goal with our clients is that most of them will come to us with an initial need. But we really wanna be full service and their general counsel. A big part of what I do is to educate our clients.”

Landlord Responsibility

The landlord is responsible for structural improvements, habitability needs, and major home systems. As the property owner, they are responsible for keeping the property compliant with building codes and health regulations. They will also address tenant requests for repairs and maintenance to the building.

Tenant Responsibility

Typically, daily maintenance and minor repairs are the tenant’s responsibility. The tenant is also responsible for making repairs to the damage they caused. If the tenant wants to make major changes or improvements, they will likely need the approval of the landlord. This restriction is typically included in the lease. There may also be a term that requires the tenant to restore the property to its pre-lease condition if they do make significant changes.

Common Tenant-Requested Improvements

Tenants living in rental homes commonly request a few types of improvements. Many tenants hope their landlord will upgrade the rental by replacing the major appliances with newer ones, such as washers, dryers, dishwashers, and refrigerators. In states that experience warm climates, tenants commonly request replacing or upgrading the air conditioning system. In contrast, tenants in colder climates commonly request insulation or energy-efficient window upgrades to help the home stay warmer and reduce heating costs. Many tenants request cosmetic upgrades like fresh paint or flooring replacement. Some states, like New York, require landlords to repaint every three years. Tenants can use this law to support their request.

For many tenants, requesting an upgrade is about more than looks or convenience. They may request safety upgrades like window guards, deadbolt locks, or updated smoke detectors. Requests could also be for accessibility modifications. For example, they may request ramps or grab bars in compliance with federal and state fair housing laws.

Are Tenants Entitled to Compensation for Improvements They Make to Rental Property?

Generally, tenants are not entitled to compensation for their home improvements to a rental property. There are a few exceptions to this. A tenant may be entitled to compensation for residential property improvements if they are specifically outlined in the lease. However, most rental agreements state that tenants make improvements at their own expense. They also state that permanent improvements become the property of the landlord.

The landlord and tenant may sign a separate written agreement outlining the improvement and the compensation the landlord will pay. This is a common solution when the tenant wants to make structural or energy-efficiency improvements. The tenant may receive an actual cash reimbursement, future rent reduction, or permission to remove the improvement when the tenant moves out.

Some states and local municipalities have laws in place that entitle tenants to compensation for specific improvements or necessary repairs. For example, San Francisco is a rent-controlled market. A tenant could file for cost-sharing or rent reductions when they make specific types of improvements, such as energy conservation improvements​​. The state of California allows tenants to petition for reimbursement if their permanent improvement increases the property’s value.

Can Tenants Remove Improvements?

Tenants cannot unilaterally decide to remove property improvements that have permanently changed the leased premises. There is a key distinction to this. Tenants can and are typically expected to remove temporary changes to a rental property. This is part of returning the property to its original condition when they move out at the end of the lease.

Tenants cannot remove anything permanently installed, such as built-in appliances, cabinets, landscaping, or light fixtures. Once installed, they are considered part of the property, making them the landlord’s property. If the tenant wants to remove them, they must get the landlord’s permission. Otherwise, it may be considered destruction of property.

An exception to this general rule would be a provision in the lease agreement. Tenants and landlords can include custom provisions that allow the tenant to make improvements and then remove them at the end of the lease. The lease terms give the tenant the landlord’s permission to remove the improvements from the landlord’s property, returning it to its original state when vacating the property.

Tenants who remove property improvements without the landlord’s permission face several potential consequences. The landlord may deduct the cost of restoring the improvement from the tenant’s security deposit. If the cost of restoration is more than the security deposit, the landlord may pursue compensation by taking legal action.

Avoiding a Legal Dispute Over Rental Property Improvements

Renters hoping to make improvements to their rental can avoid disputes by taking a few proactive steps. They should start by checking the rental agreement for any terms that apply to the tenant making major upgrades or changes to the rental property. This step is also important because it prevents the tenant from unknowingly being in violation of the lease. The next take the tenant should take is to seek the landlord’s consent by sending a written notice. This is also a good time to consult local, state, and federal laws that could impact the improvement the tenant wants to make. Some improvements are protected under tenant rights. Other improvements require government compliance for safety purposes.

During the entire process, the tenant should keep a record of everything they do and the communications they have with the landlord. By keeping detailed records of the initial request, improvement plans, contractor quotes, actual costs, and anything else, the tenant can minimize the risk of dispute later.

If an issue arises, the tenant and landlord can minimize the potential impact by addressing it immediately. Open and clear communication, along with a willingness to negotiate, can alleviate the majority of problems.

Hirzel provides helpful insight he’s learned during his representation of HOA clients that can apply to other areas of real estate law: Open communication is essential to avoiding and resolving disputes.“It’s really more of a transparency aspect with the ownership. Typically, as long as you’re building that relationship and trust over time, then if there’s an issue, people are less likely to take it personally in that situation. A lot of people just want to feel heard. ”

Find Experienced Legal Help

Tenants generally cannot make improvements to rental properties without their landlord’s consent, and those changes often become the landlord’s property once completed. While tenants can request upgrades or modifications, such as new appliances or safety features, any agreement should be in writing to avoid disputes. The terms of the lease and local laws play a significant role in determining whether compensation is possible or if tenants can remove improvements. To protect your rights and avoid legal conflicts, it’s essential to have clear communication with your landlord. If you’re in a situation involving rental property improvements, consider seeking legal advice to ensure everything is handled properly. Visit the Super Lawyers directory to find a qualified real estate attorney who can guide you.

Visit the Super Lawyers directory to begin your search for an experienced real estate attorney.