Tenant declared bankruptcy

[Bienes Raices]

A potential applicant just called me. She lost her house to foreclosure last year, which I know is not a dealbreaker from these forums, but also declared bankruptcy at the same time. Should the bankruptcy have any effect on accepting her, assuming everything else (current income, etc.) checks out okay? Thanks.

[Bill Gulley]

Hi, GOOD NEWS! If this tenant defaults with you, you have at least seven years to collect on your judgment since they can't take bankruptcy until then. In some ways, a bankruptcy makes a tenant a better risk than someone who has other credit issues! Good luck, Bill