Squatter Rights 2024: Key Facts and Tips for Property Managers

According to the UN, 10% of the world’s population are estimated to be squatters. In the US, particularly, squatters continue to be a persistent problem for property managers. The housing bubble in North America too led to a significant increase in squatters as affordable housing got harder to find.  

Property managers have taken preventative measures by investing in lockboxes to keep their properties safe.

What are squatters?

As we move forward with our blog, it’s important to know who exactly qualify as squatters.

Trespassers vs squatters

The first distinction to make is between trespassers and squatters.

Trespassers enter the property for a short period of time, sometimes with the intent to cause damage. They may live on the property temporarily and do not claim ownership. Trespassers have rights too but it is easier to classify their actions as illegal and therefore evict them.  

Squatters, on the other hand, reside on the property for years at an end and claim ownership. Hence, getting rid of squatters is harder and more often than not, a legal headache. Squatters have also been given rights by each state, making it possible for them to claim ownership.  

Squatter tenants are the existing tenants who:

• Refuse to pay rent or move out.
• Continue to live on the property even after their lease has expired.
• Are victims of rental scams who live on the property and have been unknowingly paying rent to someone who is not the owner.  

Tips to prevent squatters

Dealing with squatters can be a massive headache for property managers. It costs time, energy and money that they often can’t spare. According to property management experts, here are a few effective and simple tips to avoid squatters on your property:
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• Conduct regular property inspections
• Make sure you’re marketing all your vacant properties to find tenants faster
• Erect signs on your property such as ‘private property, no trespassing’.  
• Maintain a working security system that immediately alerts you.  
• Using lockboxes as opposed to keys is more effective at preventing break-ins. Click here to learn about secure lockboxes.
• Using tools like SimpliSafe to trigger security alarms and remotely terminate showings.
• Avoid tenants turning into squatters:
  1. Contact previous landlords of tenants to run background checks
  2. Conduct thorough screenings. (Pro tip: invest in a property management software that does it for you. LetHub pre-qualifies prospects so only the leads who meet the criteria are able to book a showing. Learn more‍
  3. Be extra strict with rent payments
  4. If the tenant under whom the lease is signed passes away, change locks and secure the property until you have documentation for whoever will be handling estate. No family or friends should be allowed in to stay in unit or remove any belongings until documentation is received.

• If your house has been on the market for a bit, take steps to make your property appear occupied. For example:
  1. Regularly collect mail instead of letting it pile it in the mailbox
  2. Draw or shut curtains when you drop by for an inspection
  3. Keep the landscape clean and maintained
  4. Talk to the neighbors and ask them to inform you if they see anything weird
  5. Make sure you visit the property at least thrice a month for inspections
  6. If it's winter season, turn off water supply

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What you must do as a property manager if you get squatters

If you find squatters on your property, you have to take an immediate action. Any delays on your part will only strengthen the squatter’s claim. Here are the necessary steps you must take to get of squatters.

• Contact the authorities
• Inform the owners
• Collect proof of ownership – e.g. utility bills still addressed to the owner
• Read up on your state’s squatter rights
• Find an attorney experienced in evictions

What you cannot do as a property manager if you get squatters

if you do find squatters on your property, you must be wondering how to get a squatter out of your house. Unfortunately, there isn't an exact easy way out. Squatters rights are protected by their state. Here’s a list of things you absolutely cannot do should you ever find yourself in this situation:  

• You cannot force them out
• You cannot take actions to make the property uninhabitable
• You cannot turn off the utilities on a squatter
• You cannot use coercion to evict squatters

What have state laws got to do with it?

Squatter rights, simply put, give squatters a chance at ownership of the property if they haven’t been evicted by the rightful owners within a set period of time. This period is called the statute of limitations and it differs from state to state.  

States with Lenient Squatter Rights

These are the 6 states with the most lenient squatter rights. Here’s what is required of the squatter in each state to claim ownership:

Arkansas and Utah: Live on the property and pay taxes for 7 years

California and Montana: Lived on the property and pay taxes for 5 years

Florida: Live on the property for 7 years and either hold a color of title or pay taxes

Tennessee:  Live on the property for 7 years and have a color of title.

Learn more about LetHub's Self-showing Lockbox Technology.‍

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What is color of title?

Having "color of title" means possessing a property without proper registration or missing necessary legal documents. It can be claimed through an adverse possession claim if the squatter fulfills certain legal requirements.

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Adverse possession and why property managers should know about it

Adverse possession is the when squatters are legally granted ownership of the property. Yes, it happens. Property managers should be aware of the adverse possession laws in their state and have a real estate attorney who is experienced in squatter evictions to avoid a lengthy legal battle.  

Conditions for Adverse Possession

The silver lining - there are a lot of conditions that must be met before a squatter qualifies for adverse possession.  

• Actual - The squatter must actually have been residing on the property for the required period of time.  
• Open and Notorious – The property has to have been occupied openly and not in secret. ‍
• Continuous – The squatter must have occupied the property for the required number of years as per state law ‍
• Exclusive – The land should be occupied by one legal party exclusively ‍
• Hostile – There must be some contest over the legal ownership of the property with the landlord or owner.  
• Other - The squatter is also required to meet other requirements depending on the state e.g. paying taxes holding color of title.  

While squatters exist in almost every state, it is not necessary that you will have you deal with one. However, it is still advised that you take the necessary precautions to avoid squatters. In case you do find squatters on your property, immediately seek legal help and ensure all communication is formal and in accordance with state laws.

Squatter Rights by State in 2024

Squatter rights, also known as adverse possession laws, are present in all 50 U.S. states, but the specifics vary widely. Here’s an updated overview of squatter rights in some of the most populated states as of 2024 (Sources: World Population Review, Statista, MultiFamily Dive)

Squatter Rights in California

In California, squatters can claim property ownership after 5 years of continuous residence, paying property taxes, and making improvements. The property owner must also be aware of their presence.

Squatter Rights in Florida

Effective July 1, 2024, Florida has criminalized squatting, enabling property owners to seek assistance from local authorities to remove squatters. Previously, squatters could claim ownership after 7 years of continuous residence and tax payment.

Squatter Rights in Georgia

Georgia requires 20 years of exclusive occupancy for squatters to claim ownership. The recent Georgia Squatter Reform Act makes squatting illegal and mandates that accused squatters provide proof of legal residency within 3 days or face arrest.

Squatter Rights in New York

In New York, squatters must occupy a property for 10 years to claim ownership. However, in New York City, squatters can be difficult to remove after 30 days due to complex eviction laws. Recent state law changes specify that squatters are not considered tenants at any time.

Squatter Rights in Ohio

Ohio has one of the longest adverse possession periods, requiring 21 years of open and continuous occupation for squatters to claim ownership.

Squatter Rights in Texas‍

Texas squatters can claim a property title after 3, 5, or 10 years of continuous residence, depending on specific conditions and circumstances.

Squatter Rights in Washington

In Washington, squatters can gain legal ownership if they have continuously lived on the property for at least 7 years and paid property taxes for the same period.

Squatter Rights in Montana

A squatter must live on the property and pay taxes for at least 5 years. They need to have claimed a title, and the owner must be aware of their occupancy without eviction attempts​.

Squatter Rights in Tennessee

Squatters must occupy the property for 7 continuous years and must not be evicted during this period. Legal battles are common in these cases

Squatter Rights in Michigan

Squatters need to live on the property for 15 years to claim adverse possession. This must be exclusive and uninterrupted occupancy​.

Squatter Rights in Mississippi

Squatters must occupy the property for 10 continuous years. Uninterrupted possession without the owner's eviction is necessary for a valid claim​.

Squatter Rights in Alabama

The required occupation time is 10 years with paid property taxes, reduced from the previous 20 years. This recent change aims to balance property owner rights with adverse possession claims​​.

Squatter Rights in Arizona

Squatters can claim the property after 3 years if they have paid property taxes; otherwise, it is 10 years. This shorter period compared to many other states can increase the risk for property owners​ (Global Data and Statistics | Data Pandas)​.

Squatter Rights in New Jersey

This state has one of the longest required occupation times at 30 years, ensuring significant protection for property owners against adverse possession claims​​.

Squatter Rights in Colorado

Squatters need to occupy the property for 18 years, or 7 years if they have color of title and have paid property taxes

It's important to note that many states have recently implemented new laws to limit or prohibit squatting, in response to rising high-profile squatting cases. These new regulations aim to streamline the removal of unlawful occupants while maintaining the principles of adverse possession​

FAQs

What are squatters?

Squatters are individuals who unlawfully occupy a property without the owner's permission, often with the intention of claiming ownership.

How do squatters differ from trespassers?

Trespassers typically enter a property temporarily without claiming ownership, while squatters reside long-term and may claim ownership rights.

What are squatter rights?

Squatter rights allow squatters to claim ownership of a property if they meet specific legal requirements over a certain period.

Why are squatters rights a thing?

Squatter rights and adverse possession laws were established to reduce unclaimed and abandoned properties, providing housing and preventing violent disputes over land ownership. These laws encourage property managers and owners to actively maintain and monitor their properties. Squatters move into seemingly unclaimed property with the intent to live there, and if they reside openly and uncontested for a certain number of years, they can potentially gain ownership. To address modern issues, clearer legal distinctions between squatters, trespassers, and holdover tenants are necessary. Additionally, journalists need to accurately report on these property matters. Property managers must understand these laws to protect their assets effectively. This system ensures property managers and owners regularly oversee their properties, preventing unauthorized claims.

Any states currently considering changes to their squatter rights laws?

Florida

• In March 2024, Florida Governor Ron DeSantis signed the "Property Rights" bill into law, which shortens the process for property owners to remove unauthorized occupants. The law allows sheriffs to assist in removing squatters and charges them a fee.

Georgia

• In April 2024, Georgia passed the "Georgia Squatter Reform Act" which outlaws squatting and requires individuals accused of squatting to produce proof of legal residency within 3 days or risk arrest.

New York

• In April 2024, New York changed its property law to state that squatters are not considered tenants on any timeframe, making it easier for property owners to remove them.

Alabama

• In May 2024, Alabama passed a bill that creates a process for removing squatters and consequences for falsifying real estate documents.

Other States

• Oklahoma, South Carolina, Ohio, and New Jersey also have bills under consideration that aim to make it easier for property owners to remove unlawful occupants.
• At the federal level, a bill was introduced in the U.S. House that would define trespassing or squatting as grounds for deportation for non-U.S. citizens.

These legislative changes indicate that many states are taking steps to limit squatter rights and make it easier for property owners to remove unauthorized occupants, in response to a rise in high-profile squatting cases across the country. The laws generally target short-term squatting rather than long-term adverse possession claims.

Can property managers evict squatters easily?

No, evicting squatters can be complex due to legal protections in place for squatters. It's important to follow state laws and seek legal assistance.

What is adverse possession?

Adverse possession is a legal principle that allows squatters to gain ownership of a property if they meet certain conditions over a specified time period.

How can property managers prevent squatters?

Property managers can prevent squatters by conducting regular inspections, maintaining security systems, marketing vacant properties, and being strict with tenant screenings and rent collections.