The landlord problem

Andrea Ogsten, of Portland State’s Student Legal and Mediation Services, has been getting a lot of complaints from students regarding nonrefundable fees they were charged when entering into a rental agreement.

The problem? The fees landlords are charging are often excessive, Ogsten said.

Aside from dispensing legal advice to students, Ogsten is also a member of the Landlord/Tenant Workgroup, a group of advocates on both sides of the equation that have been negotiating changes to Oregon’s Landlord Tenant Act law, following numerous tenant complaints over the fees.

The group has been meeting twice a month since the beginning of the state legislative session in September in order to come to a consensus that both tenants, who feel they have been overcharged or treated unfairly, and landlords or property management companies, who receive a profit from nonrefundable fees, can agree with, Ogsten said.

One of the current provision of the law allows landlords to charge an anticipated landlord expense fee, which projects the fees required for possible damage or additional services after a tenant moves out.While she has only been a part of the group for three months, Ogsten emphasized that these high fees are unreasonable and shift all the business risk to the tenants.

Under the law, landlords can also charge tenants with several extra nonrefundable fees when they sign a rental agreement, including move-in, application, apartment and administrative fees, she said.

Ogsten also said that the use of such fees is receiving widespread criticism among many tenants.

“It is pretty clear that the law allowing landlords to use fees is being abused,” Ogsten said.

Ryan Richards, a senior at PSU, said he was charged a high nonrefundable cleaning fee when he moved into his house. However, upon moving in, Richards said his landlord failed to use the cleaning fee to provide the appropriate cleaning services he was charged for.

“When I asked the landlord for a refund on the cleaning fee, the landlord refused to provide it,” Richards said.

Although most landlords are required to return the security deposits within 30 days when a tenant moves out, Richards said he has been waiting for his deposit for two months.

Richards also said that after speaking to a tenant’s union, he learned that some landlords keep tenants’ security deposit for several months, decreasing the likelihood of a tenant to demand a refunded deposit.

Samara Steele, a PSU graduate student, said she has not experienced the frustration that many students feel as a result of fees. Friends have told her how fortunate she is to have found a studio apartment downtown that is not only reasonably priced but doesn’t have high heating fees. Steele also said she was not charged an exorbitant cleaning fee when she moved in.

However, Steele said that she has only lived in Portland for a few months and time will tell if she faces the same problems that other students, such as her friends, are facing.

“Many of my friends cannot afford to pay high rent, and that might be a result of the additional charges,” Steele said.

Salahudin Ali, a recent PSU graduate, said he can understand where landlords and rental companies are coming from in charging the fees.

From a business perspective, a reasonable fee should be charged after a tenant moves out to cover any damage done to property, he said, noting the common misuses of the policy.

“If it gets to the point of excessive charges for profit, then it becomes a problem,” Ali said. “There should be a ceiling cost or maximum that the landlord cannot charge above, and the money should be refunded depending on how much damage occurs.”

Although PSU housing is not affected by these policies, said Ali, many PSU students live off campus and are subject to the expenses.

Although there is no set timeline for the group to reach a consensus, Ogsten said she is hopeful that an accord can be reached by December, at which time the group could be able to present a joint bill on behalf of both parties.

In many cases, a joint bill elevates the success of the legislation by deflating the opposition’s argument, Ogsten said. She expressed confidence in the bill’s prospects to pass even if the legislation is presented only on behalf of the tenants, based on how large a problem the issue has become among tenants.

In addition to her voice in the group, Ogsten also said a poll asking students about their views of landlord and tenant issues will help her improve her advocacy for the specific issues that students think are important.

Ogsten frequently hears about the experiences of frustrated students that are surprised when they are charged for services that were never provided or damages that have not occurred, she said.

Ogsten also encouraged students to contact her if they are charged excessive fees, so they become aware of their rights and the possibility to either correct the situation or improve the conditions.

Ogsten said she hopes revised legislation can be pushed through the state Legislature by next spring.