Leasing agents should know everything about the rental business. You should know all the details about looking for tenants, lease agreements, and property features. The essential thing that leasing agents should know is the fundamental aspects of it all. For example, you should be knowledgeable about the usual terms to use.

It might not seem like a big deal, but using the correct term is vital in this type of business. Some words are similar in meaning, but if used in renting, they become different. For example, today, we will discuss the difference between “tenant” and “occupant.” They’re the same, am I right? Well, not really.

Is it crucial that you should know the difference? Of course, it is. This article will teach you not only their difference in meaning but also their other differences. One example is their responsibilities and liabilities. After this, you should be able to educate the tenants about the risks of having occupants.

The Difference

We can define a tenant as a person who rents a property. It means he pays the necessary bills and has signed a contract. It also means that he has the responsibility to follow through with the terms in the lease agreement. An occupant, however, lives with the tenant. It may be a relative or friend and is there with permission.

Occupants

Who do we consider as occupants? Default occupants are those children and any minor dependents living with a tenant. After all, they cannot sign any legal contract yet. For adults, the landlord has a say in this matter. He has the authority to reject anyone over 18 years old to live on the property. Although, he can always give them an option to stay if they want. But they should also go through the correct process of tenant screening and signing a contract. Once they pass the screening process, they become equally responsible like the tenant.

Who will pay for rent and repairs?

This one is a simple question. The person responsible for any payment related to the rental is the tenant. The person whose name is in the contract is the only one responsible. Occupants do not have a direct connection to the landlord.

But what about damages caused by the occupant? Unfortunately, the accountability still belongs to the tenant. It is why landlords discourage guests who overstay. The landlord does not know the guest personally, and another, the tenant is responsible for their guests’ actions.

For example, the tenant’s friend decided to host a party. Some landlords allow parties in the property as long as they asked for permission and have limited guests. However, if things get out of hand, there is a possibility that damages can occur. Even if a guest caused it, the tenant should take care of the expenses. The lease agreement should include this rule; so the tenants are aware of the possible risks.

If the tenant wishes to kick an occupant out, they can do so. Even if they have the landlord’s permission to have the occupant stay, the tenant can make them leave. The problem with this is if the occupant refuses to leave. Some states have laws protecting occupants, especially if they have lived in the property for some time. Sometimes the best solution to this is to evict both the tenant and occupant.

I know what you’re thinking. The landlord will have an unexpected vacancy if this happens. But I think it is better than having people fighting on the property all the time. You can always help him find a new tenant. Where else, but Padleads? You can post the newly vacated property’s listing and have it syndicated to other websites. You will find someone new in no time.

Can an occupant become a tenant?

As mentioned earlier, an occupant can change his status to a tenant if he goes through the correct process. He should apply like everyone else, submit his requirements, and go through tenant screening. At the same time, the landlord should still do background and credit checks on the applicant.

Having an occupant does pose a risk for both the landlord and tenant. However, some situations result in tenants having families and friends over. The only thing to do is remind them of the possibilities of having occupants. It is up to them how they will handle it.