Would You Rent To This Applicant?

122 Replies

@Tim Porsche this is a tough one, but I think if your local laws allow you to accept a full year’s rent and you get a good gut feeling about her, then the upfront payment adequately covers the biggest risk, which is that she will move in and not pay rent. If you are worried about her trashing the place - perhaps ask to visit her current residence or to speak with character references?

She clearly isn’t a perfect tenant, but most aren’t at the ~$700 price point.

I have rented to a tenant in the past who paid 4-6 months up front to offset his bad credit and he was a PAIN. He was in medical school and wanted to pay in lump sums when he got his housing stipend each semester. After the first lump sum finished, he was late for his next lump sum installment...I was happy when his year was up, but he did pay and left the place in fine condition, so it wasn’t too terrible.

Based on that experience, if someone offers to pay up front, I’d actually only then rent to them if they do In fact pay up front. They offer because they know they are either bad with money or perceived as a risk for some reason. Mitigate the risk by getting the rent upfront OR pass on that tenant completely.

Given that we are heading into the holidays/heart of winter, I’d move forward with the tenant paying a full year up front. Good luck with it!

While I don’t recommend making decisions based on anecdotal information, sometimes it helps to know what’s happened with others in the same situation.

My first duplex I rented to a family that offered to pay a full years worth of rent. The place was a 2bd/1.5 bathroom for $2100 a month. My minimum requirements are a 650 credit score, minimum $4200 household income, and clean background check. Their reason for paying in full was they saved up while living with family, and did not have any rental history or and the husband was not a US citizen. Credit report for the wife was clean (score of 700ish) and had a history of paying their car payment regularly for past 2 years. The husband and wife background came back clean. The husband could not provide income proof, as he was often paid in cash, but the wife showed a stable job history with decent pay.

After weighing this information, I accepted their application and we signed a year lease. Their lease would also become month to month when it expired. I used the years worth of rent and applied it to the principle only on the mortgage. After their lease ended I also marked up the rent by 5% to stay close to the current market prices. 

They were basic tenants that never complained about anything, except that the hot water temp was too high.   They also moved in extra family members and a pet (which was against their lease). I didn’t make a fuss of things because 1) the utilities that I covered remained consistent and didn’t cost me more, and 2) neighbors didn’t complain about the dog. After 14 months of renting they moved out due to an expanding family. I ended up deducting $781 from their security to deposit to make certain repairs, having the unit cleaned, and to have the place fumigated as they infested the unit with roaches. 

Pretty boring story huh? Lol 

Ultimately, its your decision and investment. With every renter comes a gamble, its your job to mitigate the risks as much as possible. My suggestion is to look beyond the tenants situation and just focus on the facts at hand. If her work history is pretty stable, she actually can pay the rent in advance, and her story checks out.. move ahead and just get things taken care of. 

Originally posted by @Peter Sinclair :
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:

Stick with the minimum requirements you set when screening tenants. Its good to be empathetic but don’t get caught up in their situations. 

If you require a minimum credit score of 650 and the tenant has a 635.. stick to your minimum. If you have minimum household income requirements such as double or triple the rent.. stick with it! Her alimony isn’t set in stone... what if the husband doesn’t pay?

There were times I felt bad turning down a renter, especially after they’ve paid a $40 application fee but I have to remind myself these are the rules of the game.

If you decide to turn her down, you can always pass the buck of blame to someone else. For example, I tell my renters that I just manage the place and the “owner” makes the ultimate decision.  In your situation I would say “ I pleaded on your behalf and explained everything to the owner but they decided not to waive the minimum requirements, If I could rent it to yah.. I definitely would.. I’m sure you’ll find a place better than this one anyhow.” 

Since you are giving that advice what is the difference between a 650 and a 635 credit score.

 The difference could be attributed to many factors, such as maxing out a credit card, being late on a payment, having your credit run multiple times. A 650 credit score ranks higher than 40% of US consumers, whereas a 635 credit score ranks higher than 36% of US consumers. 

Not that I consider it relevant for a rental applicant  - I don't -  but the difference could simply be down to putting a large item that you can perfectly afford on  interest free credit at Loews.

Even with your example, I can argue that if you can perfectly afford something, why not just pay it off? What if after this large purchase you get laid off from work and you cant afford these interests free payments anymore.

Since differing credit scores have a myriad of affecting factors, i chose to screen my tenants against minimum credit score as it provides an objective reference point for me to make decisions rather than leave them up to questionable, subjective interpretations of ones credit score.

Why not pay it off. Because I understand what net present value is and If interest free credit had no value it wouldn't be there as an incentive.  

As you say credit scores have a myriad of affecting factors. Well most of which have nothing to do with the likelihood of the tenant continuing to pay rent for the very simple reason that that's not what a credit score measures. That's why I ignore them but even if I didn't it would be why I wouldn't be dogmatic about them

Credit scores are a tool used to determine how likely someone is to default on a debt. So when we see someone with a credit score of 800, we can assume that this person is not as likely to default on their debt compared to someone with a credit score of 650. Its a tool used to quantify risk.

It can be said that rent can be comparable to one’s debt payment, ie: mortgage payment vs rental payment, both need to be paid if you want a place to live. So, your statement that credit score has nothing to do with the likelihood of the tenant continuing to pay rent isn’t entirely true. Credit score is one many factors to consider when renting to a tenant, but not an the only thing to consider. It must be taken in consideration with ones job history, income, and other influencing, financial attributions. 

Wrong. Wrong and Wrong.

Credit scores measure how profitable a prospect is or will be to the credit lending industry. 

That's why lenders are willing to pay credit scoring companies for them.

That's why people who pay lots of credit card interest can get high credit scores even though it's an irresponsible way to borrow and they are only a paycheck away from being unable to meet their obligations (which is often why they have credit card borrowing).

That's also why credit scores  don't factor in things that  have a huge bearing on your ability to repay debt like your net worth.

@Tim Porsche Good on you for being a human being!!! Life happens to good people.

My ex-husband and I paid our rent 4 months in advance because we didn’t have steady income and wanted to make sure we didn’t worry about being on the street every month. That’s called foresight and responsibility.

When we got divorced, the only reason I wasn’t in this woman’s shoes is because I paid the bills. If I’d depended on my husband to pay them, as so many women (and sounds like this one) do, I’d have been in her boat, too.

She has 1700 a month and is giving you 795. That leaves her $900 a month to live. Utilities are probably $250 so $750 for everything else. One individual can live ok on $750 a month.

Ultimately, you’re the one taking the risk and it’s you’re decision so you got to do what you feel you can sleep with at night.

If it were me, I’d ask for a letter of recommendation from her lawyer. If s/he validated what she is telling you, I’d have her sign a 1 year lease with strict penalties for breaking, take her up front rent and put it in escrow. You could also look and see what her credit was BEFORE divorce, as that would be a better indication on her proclivities to pay bills.

Good luck!

Originally posted by @Peter Sinclair :
Originally posted by @Josh Green:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:

Stick with the minimum requirements you set when screening tenants. Its good to be empathetic but don’t get caught up in their situations. 

If you require a minimum credit score of 650 and the tenant has a 635.. stick to your minimum. If you have minimum household income requirements such as double or triple the rent.. stick with it! Her alimony isn’t set in stone... what if the husband doesn’t pay?

There were times I felt bad turning down a renter, especially after they’ve paid a $40 application fee but I have to remind myself these are the rules of the game.

If you decide to turn her down, you can always pass the buck of blame to someone else. For example, I tell my renters that I just manage the place and the “owner” makes the ultimate decision.  In your situation I would say “ I pleaded on your behalf and explained everything to the owner but they decided not to waive the minimum requirements, If I could rent it to yah.. I definitely would.. I’m sure you’ll find a place better than this one anyhow.” 

Since you are giving that advice what is the difference between a 650 and a 635 credit score.

 The difference could be attributed to many factors, such as maxing out a credit card, being late on a payment, having your credit run multiple times. A 650 credit score ranks higher than 40% of US consumers, whereas a 635 credit score ranks higher than 36% of US consumers. 

Not that I consider it relevant for a rental applicant  - I don't -  but the difference could simply be down to putting a large item that you can perfectly afford on  interest free credit at Loews.

Even with your example, I can argue that if you can perfectly afford something, why not just pay it off? What if after this large purchase you get laid off from work and you cant afford these interests free payments anymore.

Since differing credit scores have a myriad of affecting factors, i chose to screen my tenants against minimum credit score as it provides an objective reference point for me to make decisions rather than leave them up to questionable, subjective interpretations of ones credit score.

It’s called strategic debt. I can pay off my car but the loan is 1.9% and my portfolio is up 22.90% ytd. 

I’ll play the devil’s advocate :) 

What happens to your stragtegic debt if the economy crashes again and the renters you relied on loses their jobs. Whose gonna pay for that mortgage then? 

According to you their credit score  will save them.

Originally posted by @Thomas S. :

The one item that can not be taken into consideration is the fact that she has 60K in the bank. She has the ability to give away, gamble away or shoot the 60K directly into her arm any time. The only money you can count is the employment income she presently receives.. 

From a job she could lose any day. 
You've obviously never heard that a collapse in a marriage can have a knock on effect to other aspects of one's life.

It might be difficult for her, but what about having her son co-sign?

Honestly you would have to scrutinize the credit card statements to know if he or she ran them up. I knew someone who blamed it on the ex but they were actually the one with the spending problem.

Originally posted by @Thomas S. :

The credit score is a number used to determine a credit rating for borrowers. It places a percentage rating on the probability of a individual defaulting. Since a landlord is usually the first debt a individual will default on it is the percentage probability of a landlord not receiving rent in the next 2 years.

With a credit score between 600 and 650 ther is a 23% chance of default. 550 - 599 is a 39% chance of non payment leading to possible eviction..

For a landlord the credit score is a percentage probability (likelihood) of a tenant becoming delinquent.

A credit score does no such thing because it does not factor in a tenants rent payment history to it's scoring model.

"A credit score does no such thing"

If you were a landlord you would know that as a landlord you would likely be the first person to not get paid and therefor the credit history likely directly reflects a tenants payment history.

Every landlord uses different metrics in evaluating risk in accepting applicants. The fact that this applicant does not meet my screening standards means she would be automatically rejected. I never consider a applicants personal life situations and do not look for reasons to ignore my standards. I work entirely from facts and stats not emotions. I do not care what has caused a person to be where they are in life. To do so would require that I compromise my standards. I am not a social worker. My goal is only to mitigate risk. Obviously this may result in excluding certain applicants that may have been good tenants but not having a crystal ball means I will error on the side of caution every time.

If individual landlords choose to take the time to determine if a applicant, that does not meet their predetermined screening standards, is worth the risk all they must accept that they are not being consistent and are placing their screening standards in jeopardy. I take a lot of personal risks in life but never when screening applicants. I have been burned too many times on that in my early years.

Not sure what the landlord laws are in your state?  In MA landlords are required to open an interest bearing account when holding funds from a tenant. For example: a security deposit or last month rent. Also they are required to return the interest at the end of the lease. It must be 5% or lower.  When the tenant moves out the landlord has to return the security deposit immediately provided there isn't any damage. 

Originally posted by @Peter Sinclair :
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

I would rent to her with a years rent up front! If she pays for the year, her income doesn’t matter much in my opinion along with other financial worries. Also, with a one bedroom unit I would t be worries about too much damage as there isn’t a lot of space to worry about.

Once accepted and moves in how do you deal with her demanding her pre payment returned. She has a legal lease that would be supported by the law and provided she pays her rent monthly you legally can not evict her. Until the day she stops paying at which point you would have to go through the eviction process. 

Easy to argue that she has no right to demand her prepayment be returned however landlord would not win that argument in a court of law. Landlords may are not entitled to demand advance rent payment in most jurisdictions as it would be considered a "deposit" which most cases is limited by regulations.

Easy to assume pre payment is a plus however legally not the case. Quality of this applicant is dependant entirely on trust.

Originally posted by @Ihe O. :
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:
Originally posted by @Ihe O.:
Originally posted by @Peter Sinclair:

Stick with the minimum requirements you set when screening tenants. Its good to be empathetic but don’t get caught up in their situations. 

If you require a minimum credit score of 650 and the tenant has a 635.. stick to your minimum. If you have minimum household income requirements such as double or triple the rent.. stick with it! Her alimony isn’t set in stone... what if the husband doesn’t pay?

There were times I felt bad turning down a renter, especially after they’ve paid a $40 application fee but I have to remind myself these are the rules of the game.

If you decide to turn her down, you can always pass the buck of blame to someone else. For example, I tell my renters that I just manage the place and the “owner” makes the ultimate decision.  In your situation I would say “ I pleaded on your behalf and explained everything to the owner but they decided not to waive the minimum requirements, If I could rent it to yah.. I definitely would.. I’m sure you’ll find a place better than this one anyhow.” 

Since you are giving that advice what is the difference between a 650 and a 635 credit score.

 The difference could be attributed to many factors, such as maxing out a credit card, being late on a payment, having your credit run multiple times. A 650 credit score ranks higher than 40% of US consumers, whereas a 635 credit score ranks higher than 36% of US consumers. 

Not that I consider it relevant for a rental applicant  - I don't -  but the difference could simply be down to putting a large item that you can perfectly afford on  interest free credit at Loews.

Even with your example, I can argue that if you can perfectly afford something, why not just pay it off? What if after this large purchase you get laid off from work and you cant afford these interests free payments anymore.

Since differing credit scores have a myriad of affecting factors, i chose to screen my tenants against minimum credit score as it provides an objective reference point for me to make decisions rather than leave them up to questionable, subjective interpretations of ones credit score.

Why not pay it off. Because I understand what net present value is and If interest free credit had no value it wouldn't be there as an incentive.  

As you say credit scores have a myriad of affecting factors. Well most of which have nothing to do with the likelihood of the tenant continuing to pay rent for the very simple reason that that's not what a credit score measures. That's why I ignore them but even if I didn't it would be why I wouldn't be dogmatic about them

Credit scores are a tool used to determine how likely someone is to default on a debt. So when we see someone with a credit score of 800, we can assume that this person is not as likely to default on their debt compared to someone with a credit score of 650. Its a tool used to quantify risk.

It can be said that rent can be comparable to one’s debt payment, ie: mortgage payment vs rental payment, both need to be paid if you want a place to live. So, your statement that credit score has nothing to do with the likelihood of the tenant continuing to pay rent isn’t entirely true. Credit score is one many factors to consider when renting to a tenant, but not an the only thing to consider. It must be taken in consideration with ones job history, income, and other influencing, financial attributions. 

Wrong. Wrong and Wrong.

Credit scores measure how profitable a prospect is or will be to the credit lending industry. 

That's why lenders are willing to pay credit scoring companies for them.

That's why people who pay lots of credit card interest can get high credit scores even though it's an irresponsible way to borrow and they are only a paycheck away from being unable to meet their obligations (which is often why they have credit card borrowing).

That's also why credit scores  don't factor in things that  have a huge bearing on your ability to repay debt like your net worth.

 Well... DUH! A person who doesn’t pay their debts isn’t profitable! 

“That’s why people who pay lots of credit card interest can get high credit score...” - Ihe O 

If this were true, why do people with bad credit have higher interests rates? From your logic, people with higher scores would have higher interests rates.... Dont believe me? Here’s a simple infographic that was formed using just such data. 

Net worth doesn’t have a direct correlation to the ability for one to repay a debt. For example, I can own 100 acres of undeveloped land deemed to be worth 7 million dollars. But I’m 18 year old high-school dropout with no job and a maxed out credit card that I used to go visit my future wife that is locked up in Puerto Rico for drug smuggling. In this scenario, my net worth has nothing to do with my ability to repay. 

So, net worth doesn’t have as huge a bearing as you want to believe! 

Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

Wow! Lots of responses here. Thank you everyone for your input. Those of you on the Yes and those on the No side both make valid arguments. I do have another application that I need to pursue yet that looks better. This person has an income of $2,100, so he's right on that 3x the rent line. He lists an extra $1,000 yearly income for what it's worth from coaching tennis at a school, so there's that too. His credit is excellent, has a steady job, nonsmoker, no pets, and gave me some past landlord references. So I'm going to pursue that now...check the landlord references today and verify employment, and then check to see if he's still interested. If he is I'll ask him to complete the credit\background checks and take it from there. 

If he's not interested or things don't pan out with him, I'm still considering this lady. Honestly she doesn't seem to fit the profile of an irresponsible person, but someone who has gone through some hard times with the divorce. A close relative of mine is going through something similar now, and has no money because of the divorce, but was otherwise very responsible financially, so I can emphasize with her situation. If she can give me her last 60 days of bank records and everything checks out, plus I can confirm with her lawyer that the $1,000\month alimony has a very high likelyhood of happening, I may accept her contingent on getting a 2X security deposit. I would not accept a years worth of rent in advance, for the legal reasons stated by many others here. Oddly enough I think I have better protection for myself only accepting the 1st month's rent and 2x security deposit, and starting month to month, than accepting a year's worth of rent. If things go sideways, I can always give 30 days notice. Of course there's a risk of property damage happening that the security deposit won't cover, but honestly there's nothing to indicate that she would be hard on the property. For what it's worth, I looked online at the house she is selling with her (former) husband and that is closing on 12/29, and it looks spotless from all the pictures. It's a pretty big 4 bed\2 bath house, going for around $400,000. 

Originally posted by @Peter Sinclair :
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

 “So what?” Lol You make it seem as if the eviction process is simple, free, and not time consuming! 

While I don’t expect my tenants to stay forever,  I do expect them to make their rent payment on time and in full. Job history is an important peice of evidence in assessing such risk. Yes, a person working 30 years can be fired or layed off just as easily as someone working for 3 months... however, their history proves that this is unlikely.. meaning less risk. 

So, while taking a big sum partially mitigates the current years risk, it doesn’t tell me she’ll make a good tenant later. But a long working history does tell me she was respondsible enough to keep her job for said such amount of time. 

Originally posted by @Peter Sinclair :
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

 “So what?” Lol You make it seem as if the eviction process is simple, free, and not time consuming! 

While I don’t expect my tenants to stay forever,  I do expect them to make their rent payment on time and in full. Job history is an important peice of evidence in assessing such risk. Yes, a person working 30 years can be fired or layed off just as easily as someone working for 3 months... however, their history proves that this is unlikely.. meaning less risk. 

So, while taking a big sum partially mitigates the current years risk, it doesn’t tell me she’ll make a good tenant later. But a long working history does tell me she was respondsible enough to keep her job for said such amount of time. 

You unexpectedly have to evict people when their lease is up? New one on me.

Paying a year early is not paying on time and in full? New one on me.

Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

 “So what?” Lol You make it seem as if the eviction process is simple, free, and not time consuming! 

While I don’t expect my tenants to stay forever,  I do expect them to make their rent payment on time and in full. Job history is an important peice of evidence in assessing such risk. Yes, a person working 30 years can be fired or layed off just as easily as someone working for 3 months... however, their history proves that this is unlikely.. meaning less risk. 

So, while taking a big sum partially mitigates the current years risk, it doesn’t tell me she’ll make a good tenant later. But a long working history does tell me she was respondsible enough to keep her job for said such amount of time. 

You have to evict people when their lease is up? New one on me.

Paying a year early is not paying on time and in full? New one on me.

 This is what you said... “So what? If she doesn't have her stuff together then she moves out....” Hence, my response about the eviction process Mr. Smarty Pants. 

I get it.. am I being trolled here? Lol Are you just arguing for the sake of arguing??? How do I get myself caught up in these things... 

We find offering to pay all rents in advance a red flag and typically do not rent to those individuals.  She would not otherwise clear our screening so no, would not rent.

Originally posted by @Peter Sinclair :
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

 “So what?” Lol You make it seem as if the eviction process is simple, free, and not time consuming! 

While I don’t expect my tenants to stay forever,  I do expect them to make their rent payment on time and in full. Job history is an important peice of evidence in assessing such risk. Yes, a person working 30 years can be fired or layed off just as easily as someone working for 3 months... however, their history proves that this is unlikely.. meaning less risk. 

So, while taking a big sum partially mitigates the current years risk, it doesn’t tell me she’ll make a good tenant later. But a long working history does tell me she was respondsible enough to keep her job for said such amount of time. 

You have to evict people when their lease is up? New one on me.

Paying a year early is not paying on time and in full? New one on me.

 This is what you said... “So what? If she doesn't have her stuff together then she moves out....” Hence, my response about the eviction process Mr. Smarty Pants. 

I get it.. am I being trolled here? Lol Are you just arguing for the sake of arguing??? How do I get myself caught up in these things... 

So what, thats exactly what I meant and how I feel. What happens at the end of every lease agreement? How would this one be any different?

I'm not trolling, and I'm not arguing. No reason to be so sensitive.

Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Derek E.:
Originally posted by @Peter Sinclair:
Originally posted by @Irina Belkofer:

interesting how people see the situation so differently 

When I've read the OP, my first reaction was - of course, rent! It's a no brainer ;)

When reading comments, I'm realizing that it's not so obvious for everybody.

Any income can disappear - my tenant once lost a job he was at for 23 year.....next - eviction.

10 month worth rent - I'd put in my trust account, not as security deposit but rent in advance. Yes, there is tax implications, so what? We still pay taxes and if she does it on January 1st - it's still the same as she would pay monthly. However, it secured the lease for these 10 months.

As someone said, IF she requested her money back?!? No, she should move out first, sign the lease dissolution and pay all the damages ......my contract includes quite few fees for early termination if the lease.

Next, her credit. I assume, nobody ever get divorced here.....good for you! But when people divorce, banckruptcy, foreclosure, default on their credit cards do happen. More of that, it's good for the landlord! Why? Because she won't be able to buy her next house any soon. She will rent,....and if you're lucky - from you!

I'd take such a tenant without thinking twice - in 3-4 years she'd pay off my condo ;) 

It's amazing how people discuss stupid difference between 650 and 635 FICO but won't see the whole picture.

Who cares about credit in these situations? People's life is going down totally, divorce and banckruptcy wipe off whole previous good things. If you're not helping people, be smart at least to help yourself. Such tenants are priceless!

What makes you think I didn’t consider the whole picture? 

I see a bankrupt applicant with maxed out credit cards, but supposedly has $60k in the bank (not yet proven). She makes $1700 a month, but how much of this is is actually leftover, and is enough leftover to pay for rent? Its not stated. She may get awarded alimony but until then cant be proven. 

What did I miss? 

You keep saying this. Who cares about her part time job if she is willing to pre-pay for a whole years worth of rent up front?

Also, from the way I understood the response from the OP it's not credit card debt. That's the note on the truck/vehicle that her ex-husband is in charge of taking care of. It's not $13k in credit cards, its $13k they still owe on the truck.....that's how I took it at least. 

 “Has a joint credit card with a $13,000 limit that has $13,600 on it currently and is 30 days past due.” - OP

I took it literally.. I don’t know how you confused it for a truck payment.. 

Her job is important... the OP stated that she didn’t provide proof yet.. so going off someone’s word is ill advised.. Also, what happens at the end of the lease; When she needs to make monthly payments? Wouldn’t the job be important then? When screening a tenant you have to look beyond the now and assess for the future! 

The end of the lease is the end of the lease. So what? If she doesn't have her stuff together then she moves out unless she can pay another years worth of rent up front.

Do you expect your tenants to stay for forever?

Also, I got it confused because later down the OP said the LOC from Chase was for a truck the husband was supposed to be paying. Guess I somehow got the two confused.

 “So what?” Lol You make it seem as if the eviction process is simple, free, and not time consuming! 

While I don’t expect my tenants to stay forever,  I do expect them to make their rent payment on time and in full. Job history is an important peice of evidence in assessing such risk. Yes, a person working 30 years can be fired or layed off just as easily as someone working for 3 months... however, their history proves that this is unlikely.. meaning less risk. 

So, while taking a big sum partially mitigates the current years risk, it doesn’t tell me she’ll make a good tenant later. But a long working history does tell me she was respondsible enough to keep her job for said such amount of time. 

You have to evict people when their lease is up? New one on me.

Paying a year early is not paying on time and in full? New one on me.

 This is what you said... “So what? If she doesn't have her stuff together then she moves out....” Hence, my response about the eviction process Mr. Smarty Pants. 

I get it.. am I being trolled here? Lol Are you just arguing for the sake of arguing??? How do I get myself caught up in these things... 

So what, thats exactly what I meant and how I feel. What happens at the end of every lease agreement? How would this one be any different?

I'm not trolling, and I'm not arguing. No reason to be so sensitive.

 I cant help it that I’m in touch with my feelings.. no reason to be sensitive is a personal opinion, but what if my emotional symptoms are similar to that of a person with allodynia? Do you think they make meds for this?