What would you do? Potential renter with a felony.

What would you do? Potential renter with a felony.

Grand Rapids, MI · Member since 2019 · 3 posts · 26 votes

We put our home on Zillow/FB Marketplace/Avail about 10 days ago. I've gotten a lot of interest, but no follow through. A potential renter wanted to see the house but asked to fill out the application first. I thought that was odd, I offered that she see if first or call with any questions. She called and told me straight off that her husband has 2 prior felonies. First was in 1994 and the second was in 2014 and he is on probation. Am I naive to consider them? I'm considering giving them a tour just to see how I feel when I meet him. She also told me they had a home-fire and are staying in a hotel and want to move in asap. Is that another red flag?

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Flipper/Rehabber · East Brunswick, NJ · Member since 2018 · 64 posts · 152 votes
7y
Being upfront and honest with you before either of you waste any time is true indicator a bad person has changed for the good. There are a million ways around landlord background checks believe me. I was in prison for stealing cars and drugs and my partner for attempted murder and we are both changed people with wives and children and big houses and millions in assets. Some people do change. If they gave you the runaround and then we’re honest with you that’s a different story but they gambled by being honest with you knowing they might not be able to move in Because they have changed in their hearts and are no longer willing to deceive anyone.
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  • Flipper/Rehabber · East Brunswick, NJ · Member since 2018 · 64 posts · 152 votes
    7y

    @Xavier Mahoney Thanks brother. Like most of us, I found God after serving the devil for way too long. I figured out the only two money making industries that don’t care about felonies (I have four) is hospitality and construction. Earned a degree in Culinary/Management and worked for top spots in NYC. Then, started a family and became a union carpenter. (Nights, weekends, and holidays are shot in Hospitality and Unions have great benefits). Then one of my best friends took his life and ran into one of my old friends at the funeral (similar story but was years ahead of me in terms of change). He does rentals in inner cities and our sfh/flip business was born. I find the deals and manage them and he funds it or gets funding for it and we wack up the profit. I truly believe if your making the right decisions for the right reasons around the right people, the right thing will happen for you. The biggest blessings I’ve received are the ones I didn’t work for and the ones I never saw coming.

  • Contractor · Westmont, IL · Member since 2018 · 44 posts · 31 votes
    7y

    @Dennis M.

    "Not all felonies are violent and it’s completely possible somebody made choices decades ago in their youth and doing great now hey atleast she didn’t hide that".

    The most recent felony was 2014. If both felonies were in the 90's, then the problem youth thing makes sense, but he is a repeat offender twenty years later.

    The felonies could be drug related or something non violent, but that could still be bad for business

  • Contractor · Westmont, IL · Member since 2018 · 44 posts · 31 votes
    7y

    @Russell Brazil

    Smoking weed is not a felony

  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    7y
    Originally posted by @Account Closed:

    @Russell Brazil

    Smoking weed is not a felony

     Go smoke in a DC park and see what you get charged with to test your theory. :)

  • Philadelphia, PA · Member since 2017 · 824 posts · 1k+ votes
    7y
    Originally posted by @Marci Stein:

    I might consider them if I had no other candidates , but only with 2 months security deposit in addition to the rent. 

    I'm pretty sure in some states that would not only violate local/state ordinances on maximum collection of a deposit, but could also be considered a form of discrimination. Perhaps not, but if I owned a duplex and moved someone in on the top floor for a $3000 security deposit based on their previous history, and the bottom floor for $2000, and they speak to each other...why even take the risk? Either they're a good tenant or they aren't.

    I don't know if this qualifies as bad advice because I think it would greatly depend on your local/state laws, but if you're planning on doing this you might want to consult with a lawyer first, too.

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    7y

    @Shayna Hatcher you have to consider the whole person and the context. In this case, he has two felonies 20 years apart which is a clear indication he's high risk for recidivism. Hard pass.

    The DIY Landlord Book4.7248 Reviews
  • Oakland, CA · Member since 2016 · 104 posts · 47 votes
    7y

    @Shayna Hatcher I think there are a couple of factors that you should consider.

    1. As others have mentioned what were the felony charges. Big difference from murder and DUI.

    2. Where is the property located? What type of neighborhood? Is this the type of tenant your neighborhood/propert will attract?

    If the felony is not too bad and you are in a lower class neighborhood I would definitely consider showing them the property. If their financials are strong then why not? They could turn out to be a great tenant that stays long term because they have a problem finding anywhere else to go due to his felonious record🤷‍♂️

  • Investor · Columbus, OH · Member since 2016 · 139 posts · 136 votes
    7y

    @Shayna Hatcher

    I have a tenant that has a felony, but it was back in 2009 for a drug charge. Him and his wife have been great so far.

    I will say, that felony was a huge hurdle for them, as no one would rent to them because of it.

  • Rental Property Investor · New York, NY · Member since 2011 · 956 posts · 510 votes
    7y

    JOe is incorrect to think each person is the same. 

    We base our move in criteria on the risk we assume , given the legalities . 

    It’s self defeating to think every tenant is the same , we must consider them on their own merit , not a broad general standard . 

  • Lender · Pensacola, FL · Member since 2017 · 658 posts · 626 votes
    7y
    Originally posted by @Mitch Coluzzi:

    @Roger Steciak interesting. I will look into this out of sheer curiousity. I've heard the rumblings of several states pushing for time limitations and out-right disregard for history but hadn't heard of anyone pulling the trigger (pun intended) quite yet.

    I would be happy to share our published rental application standards (defined for central Iowa, reviewed and approved by local real estate attornies) if anyone is in need. We are relatively strict, but it has worked great. There is some behind the scene magic (decision matrix for conditional approval) that I won't share publicly, but the standards are still useful for defining your own!

    The political climate seems to be shifting after many years. In the 1990s, "three strikes" was on the voters' minds (I voted for it when it was on the ballot in California). When the California legislature passed tougher anti-crime laws in the 2000s, the legislators knew they wouldn't work (based on Justice Department statistics), but elected officials have to do what the voters want if they want to keep their jobs (assuming the Supreme Court is OK with the legislation).

    I believe each person is an individual and should be treated as such. I don't know how to tell if someone will commit a crime before they do or if someone who has committed a crime before will commit one again. I practice situation awareness and keep my stuff locked down to minimize the risk I'll be a victim. Quite frankly, though, I don't know how I would react if I learned a neighbor had a criminal record. Perhaps this is one of those situations where ignorance is bliss.

  • Rental Property Investor · New York, NY · Member since 2011 · 956 posts · 510 votes
    7y

    joe P - if one neighbor talks to the other about security deposit amounts and asked me about it -

    I’d explain the difference in risk I’ve taken . 

    I don’t imagine they won’t understand that felony convictions effect decisions. 

  • Rental Property Investor · Phoenix, AZ · Member since 2013 · 919 posts · 911 votes
    7y

     No, no, no, no, no.  I would never rent to them.  They have way more courtroom experience than I do.  Who knows what other ‘scams’ they might be cooking up for me.

    Set minimum standards for income, rent, security deposits, and integrity (felonies). 

    If you are not getting the right type of applicant, lower the price.

    Best of luck.

  • Property Manager · San Antonio, TX · Member since 2015 · 17 posts · 6 votes
    7y

    @Shayna Hatcher The fact that they are being upfront and honest I'll ask more questions about the felonies. Show them the house get a feel for them. Make sure they make a steady income and are not job hopping.

  • Property Manager · Roanoke, VA · Member since 2016 · 59 posts · 39 votes
    7y

    @Shayna Hatcher

    When we screen tenants, if they have had a felony within the past 5 years it's an automatic disqualification. Stick to a criteria and the tenants will eventually come. Here in our market we have an average of 30 days from listing to move in.

  • Real Estate Investor · Marysville, OH · Member since 2014 · 242 posts · 196 votes
    7y

    Thank you.  Next.

  • Residential Real Estate Broker · Greenville, NC · Member since 2015 · 164 posts · 90 votes
    7y

    We don’t accept major felonies against people or property within the last 5 years.  Keep it consistent across the board so that everyone is treated equally.   I will admit, based on what you have told it seems like a real gamble without running a full application.

  • Rental Property Investor · Closter, NJ · Member since 2015 · 884 posts · 722 votes
    7y

    Run a background and credit check on both of them. The housefire scares me more than the felonies.

  • Member since 2019 · 4 posts · 5 votes
    7y

    @Gary Barella, thank you for responding to that question. I'm about 2 1/2 months home from prison. Obviously I'm getting into RE. I haven't done any deals yet, but I'm a quick study.

  • Real Estate Broker · Houston, TX · Member since 2017 · 64 posts · 27 votes
    7y

    @Greg M.I agree - one felony a long time ago, maybe - another felony recently, no way - no one really thinks about all the times he has done something wrong and not gotten caught - caught and convicted twice = no way

  • Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
    7y
    Originally posted by @Joe P.:

    I'm pretty sure in some states that would not only violate local/state ordinances on maximum collection of a deposit, but could also be considered a form of discrimination. Perhaps not, but if I owned a duplex and moved someone in on the top floor for a $3000 security deposit based on their previous history, and the bottom floor for $2000, and they speak to each other...why even take the risk?

    Discrimination is NOT against the law. You are free to discriminate against people based on lots of criteria as long as you do it consistently. You cannot discriminate against protected classes. Being a felon is not currently a protected class anywhere that I know of and therefore, you can charge all felons a higher security deposit. Just like you can charge all Kia drivers and dentists and redheads a higher security deposit as long as you do it consistently.

  • Rental Property Investor · Los Angeles, CA · Member since 2017 · 2k+ posts · 5k+ votes
    7y
    Originally posted by @Jeremy A.:

    no. many folks here are ignorant, self righteous and bubble hasnt popped yet. many here think its still ok to discriminate or try repunish. many my tenants are have been felons or misdemeanors. ...

    You know what many people here are? They are hard working people who have made sacrifices to save up money to buy property in order to invest for their future. They are people who have invested hundreds of thousands of dollars into buying units. They are people who take risks everyday that their extremely large investment won't be trashed while the tenant doesn't pay rent, all the while self righteous snowflakes try to make it more difficult on the landlord to remove the scum, while preaching to the public how landlords are evil for raising rents. 

    So if a landlord who is taking all the risk wants to eliminate some of the risk by not renting to people who have already shown that they cannot play by societies rules, so be it. It's great that you will rent to them, but don't go all self righteous on us just because you're willing to take a risk others won't.

    That's a horrifying statistic. Horrifyingly wrong. The Innocence Project estimates 2.3% - 5%. This is inline with other organizations that typically say 3% - 5%.


  • Member since 2019 · 1 post · 0 votes
    7y

    @Shayna Hatcher

    Why risk it?

  • Rental Property Investor · Rockford, IL · Member since 2014 · 4k+ posts · 2k+ votes
    7y
    Originally posted by @Account Closed:

    We put our home on Zillow/FB Marketplace/Avail about 10 days ago. I've gotten a lot of interest, but no follow through. A potential renter wanted to see the house but asked to fill out the application first. I thought that was odd, I offered that she see if first or call with any questions. She called and told me straight off that her husband has 2 prior felonies. First was in 1994 and the second was in 2014 and he is on probation. Am I naive to consider them? I'm considering giving them a tour just to see how I feel when I meet him. She also told me they had a home-fire and are staying in a hotel and want to move in asap. Is that another red flag?

    With what's going on in the prison system - it's for-profit now! - more and more offenses are becoming felonies to keep those prisons full and producing income. You may want some more details as to the offenses (they're public record). 

    The home fire is nothing unusual, but again, you want to make sure it wasn't a meth lab going up.

    I've done the extended stay hotel thing. It's almost as much as renting a 3/2 on a monthly basis for one room with a bed and a kitchenette. So, yeah - they're gonna want out ASAP.

    Lotta folks will be squeamish about such renters, but my advice is to do your due diligence and see if it's worth moving past your own reservations and just being a landlord. As long as their income qualifies (credit may be an issue), may be worth it to fill the vacancy.

    Your call ...

  • Rental Property Investor · ME · Member since 2018 · 179 posts · 59 votes
    7y
    Originally posted by @Greg M.:
    Originally posted by @Jeremy A.:

    no. many folks here are ignorant, self righteous and bubble hasnt popped yet. many here think its still ok to discriminate or try repunish. many my tenants are have been felons or misdemeanors. ...

    You know what many people here are? They are hard working people who have made sacrifices to save up money to buy property in order to invest for their future. They are people who have invested hundreds of thousands of dollars into buying units. They are people who take risks everyday that their extremely large investment won't be trashed while the tenant doesn't pay rent, all the while self righteous snowflakes try to make it more difficult on the landlord to remove the scum, while preaching to the public how landlords are evil for raising rents. 

    So if a landlord who is taking all the risk wants to eliminate some of the risk by not renting to people who have already shown that they cannot play by societies rules, so be it. It's great that you will rent to them, but don't go all self righteous on us just because you're willing to take a risk others won't.

    That's a horrifying statistic. Horrifyingly wrong. The Innocence Project estimates 2.3% - 5%. This is inline with other organizations that typically say 3% - 5%.

    imho you discriminate if you try to repunish anyone after they faithfully served time and are off probation. or block they only or singularly because felony. avg 25% are innocent ie 25% of all incarcerations are forced, from intimidation, lying, confession done illegally, unethically or immorally obtained at gun point fearfully wrong. if you have no 1st hand experience please do real interviews, research etc. 25% is just not all from one source  as i said its only starting point. lots felons are for weed. innocence project doesnt handle all cases but based on tiny amount they do cover for free per limited # state and dont cover all states nor have unlimited tax money like local da ag have. they are one example and only handle certain cases. you must dig deeper than one organization or one year. any cop, ag or da makes many mistakes than 1 

    4. https://m.huffpost.com/us/entry/us_56ac0374e4b00b0...

    you are ignorant blind or safety bubble hasnt popped yet. some day soon youll be in cuffs and wonder why. its inevitable in police state. and despite your lack of compassion, grace or mercy ill still give you honest chance rent. more than most  courts give people today. 

  • Rental Property Investor · Columbus, MS · Member since 2018 · 10 posts · 4 votes
    7y

    A felony in 1994 then another in 2014 sounds like they didn’t learn their lesson the first time ! House fire , living in a motel , seen this before , they are being up front cause everyone else has turned them down they are seeking a needle in a haystack, they want a landlord with no experience they can convince to let them rent !

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