Negative $800 cash flow/month to help family friend?

[Patrick Fraire]

What’s up BP fam. I have a situation on my hands and am looking forward to getting your input. So my girlfriend owns a condo she recently moved out of. The condo is located in the city of Orange, California. She purchased it for $358k on a 5% down program in may of 2017. The payment is $2500/month (w/pmi +HOA). She is now somewhere around 15% equity as the property is worth around 400k. She is looking into refinance options but she needs to rent it out immediately. The floors need to be replaced so I have gotten a few quotes and we will most likely replace the old carpet floors with laminate for about $1800. There is a condo literally identical to hers in the same complex listed for rent on trulia for $1950/month (on market 4 days). Now her sisters boyfriends mom reached out and said her niece is moving here from Hawaii and needs somewhere to live immediately. They are in a hotel and can’t find a rental property due to their poor credit. They moved here due to family issues. They also have two kids and they want to be in a home for Christmas. I’ll give you a minute to wipe away the tears.... Where was I?...oh right so my gf’s sisters boyfriends mom said they can only afford $1700/month and no deposit. She said she will co-sign for her niece to give her peace of mind. Now my girlfriends initial response was Yes I would love to help out. She told me and I pumped the brakes and told her how this doesn’t make sense and what not. Her perspective is hey I want to help people I don’t want to squeeze every penny out of things if I can help I want to. My side of the story is due to your monthly payment...Whatever discount they are getting from you, it comes out of your pocket. That’s an extra $250/month you could be spending on gas or whatever and if the sisters boyfriends mom really wanted to help she would make up that difference not ask you to. Now I stressed her out and she doesn’t know what to do. Would love to get some new perspective on this. Am I being a greedy by being this way? I mean there are better way to help. I feel she is getting taken advantage of and this doesn’t make sense on her end but is a great deal for the other family. How can I explain this in the nicest most humanitarian way possible?

[Mike Dymski]

I have nothing productive to add but for the benefit of the thread, a sister's boyfriend's mom's niece is not family (even in the South where I live and family trees don't branch much).