How to write lease for unmarried couples?

Question

85% of the showings of our 4br SFH have been to unmarried couples, where the male makes most of the income.

How do you treat this situation in your leases?  Do they both need to earn 3X the rent in income in order to qualify?  What if one half of the couple qualifies and the other doesn't?

I can see these boyfriend/girlfriend things going badly just like any other roommate situation, with one tenant moving out and leaving the weaker one behind.

Thoughts?

Angelo Russo · Answer

Put them both on the lease.  if they break up, it's not your issue and you can collect against whichever one you want.  You are not limited to who stays in the house.  Put as many people on the hook to you as you can.

As for the 3x rent, use your own judgment.  I would rent to them, and have in the past.  I had a 72 suiter and a rented place is always better then an empty one.

Kyle Meyers · Answer

I have seen it declared in the lease who it will be returned to. I think the easier way to handle it is just to write the check to all the tenants. That way they have to all sign it to cash the check and you are not involved in the issue of who is owed what.

Mitch Kronowit · Answer

Like Matt said, consider them roommates. Morally, I don't give a crap they're not married, but that does allow either one of them to walk out at any time without any liability or obligation.

If he (the primary earner in this case) tosses her out, it shouldn't be a big deal from the landlord's perspective because he should still be able to pay the rent. But if she tosses him out, you're out a rent check. It doesn't matter if he is still on the hook for the rent, if he's moved out, why would he pay? You'll just end up evicting her, which is probably just what he wants.

Ideally, both would qualify for the rent, but if one doesn't and there isn't a better applicant, collect a large security deposit to cover the lower-income tenant. If they break up, offer to release them from the lease and just get somebody else in there.

Matt R. · Answer

..additional point, make sure it's clear (ie in writing)  that they are both liable for the WHOLE rent - not just 'their'half.
So, treat them exactly like two room-mates.

B R · Answer

Thanks for all the great comments.  It looks like we have a winner if we get verified income, so I'm editing our lease with the "jointly and severally" bits just in case.

Bienes, you brought up a good point regarding the return of the security deposit.  I'll write an addendum about that, I think.

Bienes Raices · Answer

Great topic...the topic of couples/responsibility can lead to a lot of grey areas. I was wondering whom to make the security deposit out to when my current tenants move out. I checked and the wife wrote the initial money order for it so I plan to make it entirely out to her.

Kyle Meyers · Answer

Just write your lease with both listed as tenants (joint and severally clause) , you don't have to worry about their relationship unless you are in an area that does not allow cohabitation.

Bill Gulley · Answer

Just as with a loan to co-borrowers, as mentioned use your own judgment, you could combined their income or you be harder and consider them  individually (as it often ends up when one leaves). How do you write it? John G. Schmuk, Jr, a single person, together with May C. Moore, a single person, jointly and severally agree blah blah blah.

How to write lease for unmarried couples?

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