Are Landlords Responsible for Unpaid Utility Bills ?
The relationship between landlord and tenant is a complex and diverse one. Many everyday parts of just living in a space results in understanding where they fall in one big responsibility chart. That can be the case with utilities: water, gas, etc. When something goes wrong, who are going to look for? Are landlords responsible for unpaid utility bills? That’s a good question to explore.
Overseeing rental property day in and day out means needing to know about these tricky situations. As property managers in Boston, we get these questions often and need to answer them in a clear and straightforward way. How are landlords held responsible for bills that they may otherwise not feel they would be responsible for? Let’s dive into this thorny topic. In this article, we will explore the following:
- Are Landlords Responsible for Unpaid Utility Bills
? – Let’s answer the question based on local laws and regulations. - What Bills Landlords Are Responsible For (Normally) – Then we can take a step back and discuss what bills landlords are typically responsible for, even though it can vary.
- Call the Experts to Navigate These Responsibilities – Finally, we will address how property management services could go a long way towards shouldering the burdens of these types of things.
Are Landlords Responsible for Unpaid Utility Bills ?
In Massachusetts and in most states, the responsibility for unpaid utility bills largely depends on the terms outlined in the lease agreement… and the type of utility. So yes, it can be a little complicated. According to Massachusetts General Laws Chapter 186, landlords are responsible for paying utility bills unless the lease explicitly states that the tenant is responsible. So the default is that the owner/landlord is responsible. If a tenant fails to pay their utility bills, the landlord may ultimately be held accountable if the lease doesn’t say otherwise.
If you’re a landlord, don’t get too ahead of yourself. It can vary! Yes, landlords need to make sure that utilities such as heat, water, and electricity are provided by them if not arranged otherwise. If a landlord fails to provide these essential services, they could be in violation of the state’s sanitary code, which mandates that rental properties must be habitable and safe. This includes maintaining necessary utilities. Failure to do so can result in legal consequences for the landlord.
However, if the lease clearly states that the tenant is responsible for certain utilities and these utilities are separately metered, the tenant is liable for those bills. That is when it gets interesting. So it benefits the landlord to clarify these things and make sure they know them upfront. In cases where the tenant is responsible, if the tenant does not pay, the utility company may pursue the tenant for the unpaid bills. In other words, in certain cases, the utility company may follow the tenant to their next home and bill them there, pursuing the person and not the residence where the utility was originally billed. It is important for both landlords and tenants to clearly understand and document their responsibilities regarding utility payments in the lease agreement to avoid disputes.
What Bills Landlords Are Responsible For (Normally)
Landlords are typically responsible for providing essential utilities. These include:
- Heating (and sometimes cooling)
- Water and sewer (including hot water)
- Trash removal
- Electricity
This is the case in Massachusetts and many other regions. These utilities are considered necessary for maintaining what is called a “habitable living environment,” as required by the state’s sanitary code. Landlords are generally responsible for making sure the services are available and functioning properly, especially during the colder months when heating is crucial for tenant safety and comfort. If these utilities are not provided, landlords can face legal consequences.
In multi-unit buildings, it is common for landlords to cover the cost of water and sewer services. These utilities are often included in the rent. This arrangement helps to avoid disputes over water usage and billing, as it can be challenging to separately meter water for each unit. Landlords may also be responsible for common area lighting and electricity, such as in hallways and stairwells.
The responsibility for other things – such as gas and electricity for individual units – can vary. Check that lease agreement! Make sure you know what it states inside and out. In many cases, tenants are responsible for these utilities. In cases like that the tenants will receive their own utility bills and they really are supposed to pay them directly to the utility company. As a landlord, if you can stay out of being the “middle man” in many cases that is a good thing. It is these types of utilities that may follow the tenant to their new home… so when it comes to the question are landlords responsible for unpaid utility bills, it can vary based on the type of utility. Again, it is important for both landlords and tenants to clearly outline and understand their responsibilities for utility payments in that very important document: the lease agreement.
Call the Experts to Navigate These Responsibilities
Do you want to save money on utilities? Try evaluating what you pay for and how much you typically use each month. If you’re asking the question are landlords responsible for unpaid utility bills, it is clear that you have utilities that can be a hassle at times. What a burden! You can implement small changes to your everyday life to not only make these things less of a burden but also potentially lower your monthly bills. If you need help determining what bills you’re responsible for or want to learn more ways to save, ask your landlord or property managers!
Bay Property Management Group offers comprehensive rental management services in Boston, Baltimore, Philadelphia, Northern Virginia, Washington, DC, and elsewhere. So, if you own rental properties and need help finding tenants, marketing properties, or performing maintenance, contact BMG today!