Unmarried Couple, Only one Can Afford the Rent on Their Own

General Landlording & Rental Properties
6yFollow

Unmarried Couple, Only one Can Afford the Rent on Their Own

Ted Klein
Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes

Hello BP, I have a question on what to do in the scenario where I have an unmarried couple that I would like to rent to. Problem is, that one of them makes most of the money of their combined income. My concern is that if they were to split up, then the other one would not be able to afford the rent on their own.

Do I write a lease were the primary breadwinner is the sole leasee or do I just go ahead and write a joint lease where they are both on the lease and hope that they stay together.

The candidates appear to be very responsible, clean and drove a clean car. I might add, that one of them works in the law enforcement field and is well qualified, so on the surface, they appear to be a very good choice for a tenant.

Just looking for suggestions on how to handle a possible situation that might end badly.

Seattle Washington, Snohomish County, Puget Sound

0Reply
230 views

Most Popular Reply

Nathan GesnerBusiness Member
Moderator
Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
6y

My policy is to combine the income for a couple. This is true if they are married, dating, or just friends.

When renting to three or more individuals that are not related by blood or marriage, then I increase my standards so that each individual makes at least 2x the rent and has a credit score of 650. This prevents five friends from pooling their Burger King money together and turning a house into a party zone. It works very well for me.

The DIY Landlord Book4.7243 Reviews
WebsiteView Page
6Reply
See this reply in the discussion

51 Replies

Jump to latestLatest
  • Byron Scott
    Rental Property Investor · Villa Rica, GA · Member since 2014 · 220 posts · 360 votes
    6y

    If both are over 18 and both will be living in your property you need to have both on your lease. Anyone over 18 needs to be on the lease from what I've always hear and followed. That covers you in any situation that comes up with either tenant. It also leaves both of them on the hook for rent and any potential evictions. Good luck!

    6Reply
  • John Teachout
    Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    6y

    I've struggled with similar scenarios. Worst one was a threesome. ie, a guy and his girlfriend + child and another guy who was long time buddies with both of them and a couple dogs. They all had income but no one party had enough to pay the rent. During the 10 months they were in the unit, the woman moved out and then back in and then forced her guy out and then he moved back in and then the other guy moved back home and they really couldn't pay the rent. I let them vacate the home and the "couple" moved into a smaller/cheaper house we had. (where they've paid the rent late about 75% of the time.)
    Anyway, whether it's an unmarried couple or two girls or two guys or whatever arrangement, I have found those situations to be more risky as far as people leaving and letting the remaining person unable to fund the rent. We have 4 properties with unmarried couples. They do tend to be more volatile/risky situations but we don't refuse them.

    5Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Byron Scott Thanks Byron, That is what I had planned on doing, just wasn't sure if that was the best option. It makes sense to get them both on the hook.

    0Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @John Teachout I have had this situation before but at the time we were renting the properties we had on a month to month basis so we had an option if there was a split. Twice it occurred where one of them split out or had lost their jobs and the other one was unable to afford it on their own. We had one when the main breadwinner split out and we had to call the cops on the squatter. As soon as they showed up he was out. 

    This time we are asking for a year lease so I wanted to be sure we were making the right decision since I don't want to refuse them as they appear to be a good option.

    1Reply
  • John Teachout
    Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    6y

    We do 1 or 2 year leases on all our properties so yeah, it does take some faith that they'll stay together for that long. Typically, if someone doesn't meet our requirements fully, we'll collect an extra 1/2 deposit. In this area, first month rent and deposit is all that's collected. Not many do last month's rent up front. I guess it's a regional thing.

    0Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @John Teachout Yeah we are getting  First, Last & Security, So I guess if there is a problem, at least I got a month to get it cleared out till it starts to hurt. Hopefully they are a good match and stay a long time...

    1Reply
  • Kyle J.
    Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
    6y

    @Ted Klein If they’re both living in your property with your permission, then they’ll have the same rights to stay there whether they’re named on the lease or not. In other words, if you wrote a lease with just the “primary breadwinner” on it, and he ended up moving out, you still couldn’t kick the other person out if they had already established residency there. You’d still have to go through the eviction process, same as if they were named on the lease. So you might as well name them both on the lease so they’re equally responsible for the rent, and you can legally hold them both accountable to the terms/conditions of the lease (and not just the one who’s named in it and signs it). Bottom line, it’s more advantageous to you to have them both named in the lease. 

    1Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Kyle J. That was what I expected, just wanted to run it by the community to get confirmation from others who had been there. As I had mentioned we did it before on month-to-month basis but that was an easier way to get them out when they didn’t leave on their own. Thx

    0Reply
  • Michael Noto
    Real Estate Agent · Southington, CT · Member since 2008 · 5k+ posts · 3k+ votes
    6y

    Like others have said, put them both on the lease. Even though one applicant doesn't make the money that is ideal, how is their credit?

    1Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Michael Noto I have not ran their credit just yet. Still waiting on tenant to verify income. It could end up being a moot point. I do have min income and credit requirements in the ad, so hopefully they read the ad before they submitted their application. 

    0Reply
  • John Teachout
    Rental Property Investor · Concord, GA · Member since 2015 · 3k+ posts · 3k+ votes
    6y

    Don't make assumptions they read the ad. Lots of people don't. Reiterate the requirements.

    2Reply
  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    6y

    My policy is to combine the income for a couple. This is true if they are married, dating, or just friends.

    When renting to three or more individuals that are not related by blood or marriage, then I increase my standards so that each individual makes at least 2x the rent and has a credit score of 650. This prevents five friends from pooling their Burger King money together and turning a house into a party zone. It works very well for me.

    The DIY Landlord Book4.7243 Reviews
    WebsiteView Page
    6Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    Well, I just got word that they have changed their mind and have found somewhere else. @John Teachout I do reiterate the requirements before they even get to talk on the phone. If they meet the requirements, then I arrange a tour. At that point I again reiterate the requirements before they get an application. If their paper application checks ok, we then send them a link for the background, credit and eviction history check. @Nathan Gesner I like your idea to individually look at their salaries to insure that each one has adequate income to cover their share. 
    Anyhow, back to screening more prospects. 

    3Reply
  • Curtis Mears
    Property Manager · Raleigh, NC · Member since 2014 · 729 posts · 596 votes
    6y

    @Ted Klein

    i would base the decision on the individual who earns the money. could she rent it on get own? if so, rent and have both sign for the lease. can not hurt to have both on lease.

    1Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Curtis Mears I had been counting just the one income as you mentioned and yes she could afford it on her own, it was my concern if she left and he was left unable to pay on his own.  And yes, it makes perfect sense that they should both be on the lease. 



    0Reply
  • Karen MargraveBusiness Member
    Moderator
    Realtor, General Contractor, and Developer · Redding, CA · Member since 2009 · 7k+ posts · 4k+ votes
    6y

    @Byron Scott in CA you cannot even mention marital status, I'm surprised in WA you can.

    2Reply
  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    6y

    Given they changed their mind, it won't matter; but should it come up again whether or not they are married shouldn't matter.  Many married couples separate or get divorces.

    3Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Karen Margrave I’m not sure of the tenant rights laws regarding marital status in WA so I just play it safe and treat everyone the same regarding marital status.



    0Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Theresa Harris Yeah I guess I probably got lucky they changed their mind, as @John Teachout mentioned that unmarried couples can be more volatile tenants.

    I would still accept tenants regardless of marital status, however, there just seems to be a bit less chance of a split if they are married. At least a divorce could offer the non-breadwinner some financial benefit, whether they are the one who stays in the rental is the question. 

    1Reply
  • Dillon Dale
    Real Estate Agent · Owatonna, MN · Member since 2017 · 221 posts · 152 votes
    6y

    @Ted Klein federal fair housing law lists marital status as a protected class. Toe a fine line with this. I just require a combined income of 3x the monthly rent

    1Reply
  • Matt M.
    Specialist · Easton, PA · Member since 2018 · 1k+ posts · 2k+ votes
    6y

    @Ted Klein

    Even if they were married, the same scenario could happen. They would both be on the lease and both responsible for paying the rent. I’ve had many couples both married and not that have split, and surprisingly it’s worked out fine

    1Reply
  • Ted Klein
    OP
    Investor · Redmond, WA · Member since 2016 · 169 posts · 58 votes
    6y

    @Dillon Dale @Matt M. I am pretty sure in my previous posts that I never mentioned any preference towards marital status. In fact, I did write that “I just play it safe and treat everyone the same regarding marital status.?” The topic of considering marital status was brought up by others.

    I have very specific requirements that are clearly defined in my listing and nowhere does it mention anything that could be considered a protective class. I do not list my phone number so that email is the preferred communication method. 

    * 1 year Lease contract
    * Verifiable income of 3x monthly rent
    * Verifiable employment history
    * Verifiable rental references
    * Minimum Credit Score 675
    * No Evictions
    * No Pets
    * No Smoking
    * Utilities: Tenant (Lessee) shall be responsible for Electricity, Water, Sewer & Garbage
    * First Month rent of $xxx and a Security Deposit of $xxx are required at lease signing.
    * Last Month rent of $xxx is payable over 1st three months.

    If the prospect states that they meet the requirements I schedule a tour. I find that this works pretty good in weeding out the non-qualifiers and minimizing my time spent driving to the property for useless showings. At least it works for me. 

    0Reply
  • Matt M.
    Specialist · Easton, PA · Member since 2018 · 1k+ posts · 2k+ votes
    6y

    @Ted Klein

    So what is your point? All I was saying was that anyone could split, married or not 

    1Reply
  • Karen MargraveBusiness Member
    Moderator
    Realtor, General Contractor, and Developer · Redding, CA · Member since 2009 · 7k+ posts · 4k+ votes
    6y

    @Dillon Dale Marital status is NOT a protected federal class. Though 26 states have various protections.

    0Reply
  • Karen MargraveBusiness Member
    Moderator
    Realtor, General Contractor, and Developer · Redding, CA · Member since 2009 · 7k+ posts · 4k+ votes
    6y

    @Ted Klein if you were to only lease to married couples in CA half the units would probably be vacant. But, as I mentioned we can't even ask the question, and it makes no difference. Asking such questions opens up a huge can of worms.

    1Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free