What Is Rent Abatement?
- The lease or rental agreement, and local housing laws, detail the responsibilities of owners of rental properties. When a landlord fails to perform her responsibilities, the tenant can request a rent abatement. A breach of the lease can involve failure to make repairs to the property, failure to enforce parts of the lease or violation of local building codes. The rent abatement allows the tenant to pay reduced rent until the breach is corrected. The rent abatement might be assessed to reflect the reduced value of the property while repairs were not made. Rent abatement orders may be retroactive and require a landlord to refund portions or paid rent to a tenant.
- Some local governments have rent abatement laws. For instance, Madison, Wisconsin, has a rent abatement ordinance that allows tenants to make rent abatement claims that are heard by hearing examiners. Your rental leases might include a rent abatement clause that informs you of your right to request the remedy in a court or other venue. Local housing courts might order or approve rent abatement to resolve landlord failure to make important repairs.
- Jurisdictions that have rent abatement laws often provide instructions for how to determine the amount of rent to be withheld. New Mexico allows tenants to withhold rent, seven days after the landlord is notified of needed repairs, in the amount of one-third of the pro-rated daily rent or 100 percent of rent if the property is uninhabitable. Madison's ordinance includes a list of abatement ranges for specific violations. Rent is reduced by 1 percent to 5 percent for simple housing code violations and 50 percent to 95 percent for serious violations.
- Some jurisdiction allow tenants to perform rent abatement on their own after notifying the landlord of needed repairs and to bring documentation to housing or eviction court. New Mexico Legal Aid recommends that tenants who abate their rent should hold the unpaid rent until they appear in court and, in light of potential court orders, until the repairs are made. Tenants who feel they have a case for rent abatement should review housing laws in their local courts before attempting to withhold rent. Nonprofit legal aid agencies or tenant assistance organizations can provide this information.