Is it legal for landlords to use smart technology in their rental properties?

Smart technology is all around us. Is it, however, legal? Landlords may be able to save time and money by using current technologies. More information may be found here.

What you will discover:

Is it permissible to install security cameras in public areas?
Who has access to security cameras installed in public areas?
Is it safe to operate locks using smart technology?
Should I allow renters to install smart security devices such as locks or cameras?
Is it permissible to use smart thermostats to change the temperature remotely?
Are electronic signatures on lease agreements enforceable?

Smart technology is gaining popularity, and landlords may wish to adopt it for a variety of reasons. They may see it as a perk to attract renters or raise rent, a security element to better monitor the property, or an efficient approach to save expenses. As with every other choice you make as a landlord, you should consider the legal ramifications.

Is it permissible to install security cameras in public areas?

Security cameras may be installed in most popular places, just like any other company. A common space in a multifamily complex is one that is accessible to the public or residents, such as the entry doors, lobby, corridors, parking lot, or leisure facilities. However, cameras cannot be installed in areas where there is a reasonable expectation of privacy, such as inside a lavatory in a communal area or a gym changing room.

In many areas, you may be compelled by law to inform others that they are being videotaped. There are two methods to do this: place the cameras in prominent locations and publish clear signs at the entrance and throughout the property.

Tenants may anticipate or enjoy the installation of security cameras if you are the landlord of a big building. Some tenants may believe that cameras protect them in a tiny building or single-family house, while others may believe that cameras watch them.

In addition to camera limitations, audio recording is subject to additional restrictions. At the very least, you may need a prominently displayed notice stating that you are recording both audio and video. Wiretapping and privacy laws apply to audio recordings in many jurisdictions, and infractions may result in fines and penalties. Any discussion you record may need the explicit approval of one or both participants, but you do not count as a party if you are not directly participating in the chat.

Who has access to security cameras installed in public areas?

Strict controls governing who may see security cameras are not the norm. However, it is advisable to restrict access to managers or security people and to ensure that these individuals have undergone a background check. This may alleviate worries about cameras being used illegally, such as when a staff member stalks a resident. It is best practice to update the password or the method by which the security cameras are viewed on a regular basis, especially after staff changes or if a renter who was granted access moves out.

Is it safe to operate locks using smart technology?

There are certain questions about smart locks, such as whether they have adequate protections to prevent hacking or if they can still be used if the power goes out. Furthermore, alternative locks may or may not be as secure as a standard deadbolt lock. It all depends on the smart lock in question.

One significant issue with smart locks is that they may be required to fulfill fire requirements. Some smart locks are intended to fail in the locked position during power outages to prevent burglaries, but may be unlocked from the inside to allow people to escape during a fire.

Should I allow renters to install smart security devices such as locks or cameras?

As a landlord, you may include regulations for tenant upgrades in the Lease Agreement. The majority of landlords do not want renters to change their own locks.

If you do allow a tenant to install a smart lock, make sure it meets fire code requirements and that it can be opened with a key (and get a copy of a real key). This manner, you may enter the flat in an emergency without fear of the tenants restricting your entrance.

Allowing renters to install cameras might be more difficult since wiring and installing them may need physical alterations to the residence. An inside camera, or one installed within their apartment, is most likely not an issue. However, other tenants in a multifamily property may have privacy concerns regarding external cameras. It is frequently ideal to allow renters to install smart security systems only in single-family homes, where you may need such features to stay after they depart.

If a tenant requests exterior cameras or smart locks, landlords may want to consider paying for the upgrade to ensure a quality device is installed and that they will be able to comply with the law (such as the fire code or not recording audio in states where doing so is prohibited, such as California).

Is it permissible to use smart thermostats to change the temperature remotely?

If you include utilities in your rent or have a multi-family building with a central HVAC system, you may wish to adjust the thermostat to save energy. Although this is acceptable in many places, others may require the temperature to remain within a certain range. However, if a landlord controls the thermostat, renters may use space heaters and portable or window air conditioners, increasing energy consumption and having the opposite impact.

Using a smart thermostat to control tenant thermostats may not be a good business practice since renters often expect to handle it themselves. However, in certain cases, it may be required, and having the option to adjust the thermostat remotely may be advantageous. If you want to be allowed to manage the thermostat, read the legislation in your location, include the requirements in your Lease Agreement, and make sure renters understand why it is required.

Are electronic signatures on lease agreements enforceable?

If you are considering smart technology for your units, you may also want to consider smart technology for the business side of renting, such as electronic signatures.