Should this behavior be of concern?

Question

I'm sorry to keep posting so many questions. But strange things keep happening with these applicants.

This person says they don't want to mail the monthly rent to me because they don't feel safe sending checks through the mail. They want to meet me somewhere in town and give me a cashier's check each month instead. Has anyone encountered this phenomena before?

Michael Rossi · Answer

You're kidding, right?  Many tenants don't have ANY money in the bank.  In fact, many low income tenants don't even have a bank account.

I agree 100% with Mark.  I pick up all my rents in person every month (IN CASH) and I never have a problem with the tenant not showing.  Why?  Because if they play games with me, they KNOW that I will immediately evict them.

I don't want checks or money orders - they both can be cancelled or forged.  I want cold, hard CASH (that I check with a counterfeit pen).

Having said that, if you have a bad feeling about the applicants - DON'T TAKE THEM!!!

Mark Yuschak · Answer

I actually take an opposing opinion due to my experiences.

My best tenant does not have a checking account and consistently pays me in cash every month.  As far as I know he cashes pension checks at the local party store.

80% of the time I meet him at the property, or we meet at some other place.  We've had this arrangement for five years and it's never failed me.

Just because someone doesn't have a checking account does not mean they won't be a good tenant.

Bill Gulley · Answer

Hi, what jumps out at me is they are not financially responsible, they may not even have a checking account! IMO, anyone who uses money orders does so because they can't get a checking account probably because they bounced checks. I'd tell them to cause their payment to be credited to an account if they like, but I'm not driving somewhere to meet them wait on them and have them not show because they had a flat tire or whatever the excuse of the day might be. It's their responsibility to provide good funds when it's due. Hope you haven't already signed the lease with them....Seems to me you have problems ahead, just my opinion. Bill

Eddie Ziv · Answer

I'm not sure if I agree with the note carrying part. Foreclosures are much more complex than evictions...  :wink:

Bienes Raices · Answer

I don't care about someone paying cash, my issue was with this guy claiming that he's afraid to send checks through the mail. That's either a story to hide something, or if it's true he's incredibly paranoid. Either way it's not good.

Rob Huxman · Answer

I got to be honest here. It sounds to me like you are way to in love with your Rental house. This is a business you are not doing this to make friends at all.. I would never even let them know that I own the property. And if its in a Trust they will never do the Research to find out. And if it's not in a Trust it really should be. If they know that you own the property they will try to become buddy buddy with you. And I don't know how everyone else on here feels yet personally I have friends and they are a pain in the %%% as well. Rent is due by the 5th if not paid on the 6th they get a 3 day notice. After that eviction process is started. If a tenant has been with me awhile and lets me know of a problem I will work with them 100% (ONE TIME) I know this sounds hard. If you seem hard up front and really are not they don't know that. If you seem soft they will walk all over you. If you are to picky on who you let live in your property and it takes 2 months to rent the property that is 2 months down the drain right out of the shoot. At one time I had over 40 rentals.

The other option is hire a property manager and forget you own the place.

Or sell out and carry notes its easier and pays more.

Eddie Ziv · Answer

To the issue of Section 8, there is no such thing as "Section 8 neighbourhood" I bet you that there are more than few section 8 tenant in the neighbourhood where your rental is. One of my properties in Texas (Flugerville, near Austin) was occupied by a section 8 renter for four years when I bought it. This is a middle class neighbourhood where houses are selling for more than $100K and the rent is $1050.00.
Bottom line is, you can find section 8 renters in all sort of neighborhoods .
The essence of section 8 housing assistance is that if you work one, two or three jobs and you still cannot afford living in the area where you work, the government assists you.

BTW, no need to apologize for posting questions, that is why we are all here for - providing and getting information and experiences.

Bienes Raices · Answer

I didn't hear from them again. However, I noticed when I went back to the rental house this morning to do some cleanup, one of their kids broke a slat on my new miniblinds while I was showing talking to the parents.

Bienes Raices · Answer

Many tenants don't have ANY money in the bank.  In fact, many low income tenants don't even have a bank account.
          
          yes, I'm learning that  :roll: 
This is not the greatest neighborhood in the city, but it's not a section 8 neighborhood either. I think about half the houses are owner occupied, and reasonably well kept. I didn't think it was going to be a huge issue getting someone who could pay the rent and deposit without a lot of issues. Clearly I was naive about that, or else I'm just attracting the wrong people for some reason.

Should this behavior be of concern?

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