General Landlording & Rental Properties

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Account Closed
  • Houston, TX
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Is a 2 year lease worth a $200/month rent deduction?

Account Closed
  • Houston, TX
Posted Jun 26 2014, 10:59

Hello, all.

The house is listed at 2,175, but I want to ask the landlord for a monthly rent of 1,975, in exchange for a 2 year lease with a buy-out option. Is this too much to ask?

I have an excellent credit history and a credit score of over 750 FWIW.

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Curt Davis
  • Flipper/Rehabber
  • Memphis, TN
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Curt Davis
  • Flipper/Rehabber
  • Memphis, TN
Replied Jul 9 2014, 22:31

Why would you as a landlord want to raise the rent on your tenant if they are willing to keep renewing year after year?  Market rents are not so volatile that all of a sudden say a home that rents for $1,000 per month 2yrs from now is a $1,300 per month home.  Tenants will move over $25, I have seen it and its not worth it to pay for the make ready repairs and the 2 month vacancy and property mgmt placement fee!!  Personally, if I got market rent I would let them stay at that rate every year. 

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Bill Wallace
  • Residential Real Estate Agent
  • Mound, MN
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Bill Wallace
  • Residential Real Estate Agent
  • Mound, MN
Replied Jul 11 2014, 07:22

No.

Even if the state allows leases of longer than 2 years I wouldn't offer a discount from what I thought was the fair market rent. As the landlord I might accept a 2 year lease at the market rent and sell it to the tenant as a guarantee that rent won't increase for 2 years. That seems like benefit enough to both parties - guaranteed tenant, guaranteed lease rate.