I have an applicant for a a property of mine whom submitted information to a tenant screening service I use that his monthly income from Disability is $1500.00 monthly. My advertised rental that he wants is $475.00 per month and so it would appear that he should easily be able to afford my rental, except the only proof of disability income which he was able to provide me from the Social Security Administration, dated: Nov 28, 2014 indicates only $946.00 to be paid on the 3rd day of each month. He seems highly disorganized and actually could only provide a government ID in lieu on a driver license for identification purposes even though I witnessed him driving a car during an earlier property showing with him. Is he lying about his disability income or maybe this is side money he makes under the table by doing odd jobs? I would be placing him on a Month to Month lease and so what is your take on a tenant like this. His credit score from the tenant screening company I use shows he pays some bills, but others like that of a cell phone he has problems paying. I also wonder how difficult it might be to chase down rent if his cell phone is disconnected due to his history on that. How do I determine his $1500.00 monthly claim or is it a bad risk to rent to an individual like this? This guy is another of Starkes finest, which I mentioned in an earlier discussion. Not many people either have jobs there or that yard signage I have most definatley must be taken down to avoid advertising to these types who stray past my property there.
CORRECTION TO MY ABOVE POST: The disabled applicant only recieves $1025.00 Monthly and the is not close to 3Xs the asking rent of $475.00. I do have a cheaper rental unit for $375. 00 and maybe this is a lesser risk?
If you have a cheaper unit and want him, go with that.
Entitlement benefits are provided by the SS, their figure is what is actually sent to him, the difference is for his health insurance. At your first figure I was going to say he was lying, 1,025 is about right for the total disability and his disbursement of 995 is a normal range, go with that. If he has no savings, he's a ticket away from a late rent payment as he'll pay the judge before he pays you! :)
Bill Gulley, General Real Estate Academy | https://generalrealestateacademy.com
yeah I think I will decline on renting to him. The sole reason my rents are so low was the idea that I could attract more interest in my rentals, but the backfire to my plan was it only seems to attract those on disability which only earn 12K a years tops. I have no idea how these individuals cna live like they do and much less find a rental they can easily afford. Thanks.
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