Landlords of all types of rental properties have been utilizing various forms of technologies for years, but now that more advanced technologies have emerged – such as biometric scanning – landlords should err on the side of caution.
In fact, it is advised that – if you own and/or manage rental properties that you do not use any type of smart technology. In this comprehensive guide, we will go into further detail on this.
The Laws
If you are a landlord and you are considering utilizing any type of technology on your rentals, you should know the laws that govern such usage. For example, if you want to put a security camera in place, the law states that those devices may be used in common areas – such as hallways or in mail rooms – but they cannot be used in any manner that results in the devices being pointed at the doors or the windows of the rentals.
If you want to use technology, you should have a professional property management company handle the operations of your properties as they know the laws and will handle the implementation of the technology desired. Keep in mind, though, many property management companies do not integrate and/or operate technology on rental properties.
Smart Locks
While it is true that smart locks are highly advantageous in the residential setting, it is not advised that you use these locks on your rental properties. When a landlord places this type of lock on a rental unit, they could override the lock using the master application associated with the lock on their smart phone.
Additionally, a landlord could prevent the lock from going into the locked position, they could change the number-based code used to open the lock, and other less than favorable issues could arise. Plus, if a smart lock is used, the code will need to be changed upon the immediate vacancy of the rental unit.
Tenants Reject Surveillance
Most people – tenants included – enjoy living a quiet, private life. If any type of surveillance is used, this is not possible for the tenant. It does not matter if it is a biometric technology or security cameras that utilize facial recognition software.
If you are a landlord, it is just better to avoid any type of surveillance technology as many landlords have actually been taken to court by their tenants due to using surveillance software and have actually won.
Elderly Tenants
Believe it or not, there are many in the elderly population today that prefer to avoid software and those that find it difficult to understand and operate the software. Many in this population will not like to depend on various types of technologies in order to access their home.
There was a case in New York where older tenants took their landlord to court and one. First, they were required to use a smart key to access their building. Those smart keys contained GPS trackers, which meant their whereabouts could be tracked and may possibly become the subject of marketing based on their location. The tenants won the case.
Technological Breakdowns
Many do not realize it, but smart technology depends on an internet connection. If for some reason the internet or the electricity goes out, it would be more challenging to enter the residence. There will likely be a manual code given to tenants in the event that this happens, but many tenants may not memorize it or keep the code on their person.
Sensitive Location Data
The growing use of smart locks in various types of rental properties has created a new source of sensitive location data for various companies, landlords, and law enforcement personnel. The tenants that you rent to should not be coerced into submitting to tracking simply because they want to enter their home.
If this sensitive location data is obtained, privacy laws must be followed, a consent must be provided by the tenant stating that it is acceptable to collect the data, and police access will need a warrant and the amount of data collected must be minimalized. Because of all of this, it is best that landlords simply do not collect the location data.
Smart Locks
Today’s market offers many different types of smart locks. The basic models consist of a physical lock that may be opened with a nontraditional type of key, such as a smartphone or a fingerprint. In terms of privacy, these types of locks allow the lock company and the landlord to collect information each and every time you or your guests unlock your door.
The lock must be connected to the internet. They may also rely on the smart phone you have to transmit the collected information directly to the servers of the company. There are smart locks that may record other types of information – such as a picture of the person that is trying to unlock the door.
The Privacy Risks of Smart Locks
Despite the fact that smart locks are considered ideal and convenient to some, it is a known fact that they have the potential to outline a highly revealing data trail that actually raises concerns about information security, data privacy, and the power of law enforcement. All of this could provide issues for tenants as the information is typically obtained without their knowledge.
In short, these locks could give authorities a detailed list of every single time a tenant or their guests enter a home. The home is considered to be a private place, according to the Fourth Amendment.
While it is probably not true that you would do so, data that is obtained through smart locks may be abused and used to harass or to penalize your tenants. Not only could it track who is entering the home, it is tracking how long they stay, and could lock out a tenant without any form of notice. There are many people – about 15% – that do not have a smartphone. Having a smart lock in place could impact those that do not have access to the technology required to get into their home.
If there are private companies monitoring the data from the smart lock, they could sell the information that they retrieve. This could give information to the companies such as the makeup of the family, the job status, the travel schedule, the type of job the tenant has, and information regarding entertainment that you indulge in. The smart lock and the system that stores the data could actually be hacked. For example, a group engaging in ransomware could lock out an entire apartment complex and make the landlord pay a hefty fund.
The smart locks may also be used by the tenants in order to maintain a high level of control over family members. In the worst case, an abusive person may lock in their family members. They may also use the log to question why the doors were opened and the movements of the relative. This could cause people who are abused to have a harder time in getting help.
The Regulation of Smart Technology Data
If you decide to use smart locks on your rental property, you should reconsider. If you do use them, you should regulate the usage by engaging in the following steps:
- An option for traditional locks should be provided that does not track personal data.
- A consent should be obtained that landlords and companies should not collect or use data unless the tenant specifically states that they give their consent.
- If data is collected, it should be only a minimal amount.
- Landlords should never give information to law enforcement officers without a warrant that is based on probably cause and a notice to the tenants.
- Landlords should protect smart locks and associated data with strong information technology protocols and provide direct notice if the information is breached.
- Tenants should have a private right of action to make a lawsuit against landlords that violate their privacy rights.
Let Us Help
To avoid all the complications associated with smart technologies that may be used in rentals, enlist us here at Pioneer Property Management to manage your rentals. We are capable of finding suitable tenants, enforcing that which is legal under Colorado law, paperwork, collecting monies from tenants, and 24/7 maintenance and management services.
In addition to all of the above listed services. We here at Pioneer know what’s for sale and what’s not for sale. We hold a comprehensive list of properties that are not listed on online platforms. In all of our years of service, we have had zero evictions. If you would like to learn more about the services that we offer or you want to set up an appointment to get started with a professional team that looks out for your best interest. You may contact us today online or by telephone. Simply call the following number so that we may be of assistance to you: 720-839-7482
