Landlords... Stop being so hard on your tenants

125 Replies

Originally posted by @Theresa Harris :
Originally posted by @Jason Allen:
Originally posted by @Theresa Harris:

Landlords also have bills and some of them may have lost their jobs.  Just because they own a home (many have mortgages) doesn't mean they are rolling in money.  Tenants need to pay what they can (ie they can't pay nothing) and work out a payment plan for any shortages with the landlord.

 I think that's fair. Try to agree on a number they can pay which is better than nothing. And if they can't pay anything then letting them go is better than driving them into debt.

Would you agree?

Many "investors" are over leveraged which we're about to find out. Over leveraged in more ways than money, they're over leveraged in competence. 

 That is what I plan to do, but I also know most of my tenants live in an area where the government will pay landlords $500 a month directly if the tenant has problems paying.  the tenants have to apply for this.  I think most of my tenants are good and we work well together-if they need something they have no problems asking.

 That's a great attitude and strategic response. Also by providing them with the resources to accomplish this would be beneficial as well for all parties. 

Originally posted by @Mark F. :

@Jason Allen Oh ok! So in your logic it's my fault this happened and I should eat some of their rent or move back in with their parents and out of the lease? Just keep teaching them the lesson that life doesn't come without consequences because they cant save. I'm not saying I wont work with my tenants, because we've had conversations on this issue.

A lack of planning on YOUR part doesnt constitute an emergency on mine.

 Mark, you have every legal right to hold them to the fire of their legally binding lease agreement and suck every dollar out of them that you can and take them to court and sue them for specific performance + legal fees if you desire to do so.

Or you could let them pay what they can, break the lease early with a minimal penalty and get a new tenant in the door who's not affected by this crisis.

The ball is in your court... 

@Jason Allen

I understand you just fine. And your message is very poorly written. My tenants financial well being is not my responsibility. And that is not “immoral”. We aren’t dealing in moral agreements here. We are dealing in a business transaction. I provide housing for rent. Nothing more, nothing less. And, tenants can break their lease any time they want. I am not forcing them to stay. But you wish for all landlords to act as parents, not landlords. You want us to help tenants financially, make the tough life decisions for them, and act as their security blanket during tough times. Why? Apparently, because we have more money than they do.

You’re not even asking for landlords to work with tenants, or defer rent payments. Nope. You said; let them leave with no consequences or allow them to pay less rent for 90 days. You said all of us should be doing this out of a sense of morality.

I honestly don’t care what others are doing. It’s their business to run as they choose. But you feel a sense of superiority in telling everybody what they should be doing. That is beyond the pale. So yes, I understand you just fine. I just don’t like it.

Note: I placed the following on a thread and I am putting it here as as well:

"Hello All,

I’d like to put this in the tenant’s perspective. I rent and that rent check is ready to go for April no matter what. I’m a health care worker but mid-March, we were sent home and may not return for another couple of weeks. Ugh.. I’m keeping a high chin and know that we’re going to come through this without adding to my landlord’s worries. But the rent will be paid

I’m sure some of your tenants have thoroughly considered, “hum that money I do have, I will instead save it for food and hoard more toilet paper”. This is a scarcity mentality. Perhaps this is a time when you can help bring education into the picture. Sometimes we assume people know about savings and emergency funds, etc.; I mean it does sound quite basic, right? Think about that time when you read “Rich Dad Poor Dad” and your mind did a 360 pivot and lo and behold a new perspective. Your tenants could probably use some pivot in their use of money. You may not see it as your job but here you are worrying about money yourself. What can you do to bring a little enlightenment to your tenants?

Communication with your tenant and encouraging your tenant to stay in touch is of utmost importance. Here’s a little story about my negotiation as a tenant: There was a time when I lived in Jersey, and went through surgery, chemo and radiation. I wrote a proposal to my landlord stating the situation and gave my BOLD proposal which was: asking to her to reduce my rent by $200 (from $1300 to $1100) for six months, then in 6 months I will pay her $1500/month until caught up. This angel landlord approved it; I was elated and I fully complied with that agreement and paid her despite working part time and four children to feed. Previous to this scenario, I had made other proposals that were all win-win. Let’s not go into agreement with scarcity. How can you and your tenants get in touch to create a win-win scenario despite Covid19?"

Originally posted by @Jason Allen :
Originally posted by @Anthony Wick:

@Jason Allen

The bottom line is that these people are your tenants, they are your responsibility in that you provide them with housing, they rely on you, they depend on you ....

Tenants aren't my children and they aren't my responsibility.  Tenants are adults that need to learn how to make good decisions and take care of their basic needs, housing being second most important after food.  Tenants need to tap their OWN resources before I should be expected to dip into mine to help them.  This doesn't show a lack of empathy for the situation, but rather the reality of being an adult.  

 

@Jason Allen

I read more. And I’m baffled even more by your ideas.

Tenants should keep their retirement accounts, keep college fund savings, but we should offer them a rent reduction? I’m retiring in three years and I have two kids in college. But that doesn’t matter. I should work longer and my kids college doesn’t matter. Got it. Thanks.

@Jason Allen is a true Professional tenant! 😆

For those not aware, this tenant has lectured us on how foolish we are for owning our rentals instead of renting them from others and subleasing them on Airbnb.

Guess what happened to our favorite professional tenant who told us all to enjoy foreclosure? Yep- you guessed it, he is left with a lot of Airbnb rentals and April's rent is coming due!

So now you understand the point of the thread. 

Any landlord that's worth his salt will or already is working the situation out. Both landlords and tenants are responsible to cover their expenses. It all comes down to what kind of people do you choose to rent to. 

I have a lot of college students and OIT has taken everything online so the students are leaving. This means breaking their leases. My agreement with them is that if they will take the time to leave the property really clean and in good shape, that I will let them out of their leases so they can go home to families. My tenants are happy and I will have an easier time with turn over. So far, the tenants have left the units in excellent condition. It's not a good scenario for me, but I'm making the best of it. 

I do have some regular working folks and a couple have notified me that they're laid off and will do their best to pay rent. I told them to get it to me as they can and there wouldn't be late fee. The plan is to make monthly payments and I'll have the full amount by the end of the month. 

My point is that if you rent to good people, this isn't hard to work through. I treat them with respect and they return the favor. Jerk landlords will get weeded out just like bad tenants run out of good places to live. People should back off each other and let the economic crisis clean house. 

@Jason Allen I think honestly tenants should be able to pay rent with this new bill passed, if your tenants are laid off or unemployed for any reason the are getting an ADDITIONAL 600 a WEEK for 4 months on top of their regular unemployment. I live in PA and the max Unemployment 450 a week (it might be more or loss depending on where you live).

Now with the new stimulus bill they will be getting 950 a week in PA. PLUS on top of that they will also in may be getting 1200 a person and 500 a child, so if you have 4 tenants living in a household 2 adults and 2 children that would be 2400 for the adults and 1000 for the children for a total of 3400!.

I currently rent an apartment and our landlord already sent a letter out saying if we can’t pay April and May rent he will add an additional 100 a month after may until the 2 months of rent is paid off which I think is very reasonable.

Me becoming an investor I see it as this; family of 4 getting 3400 in May about 950 a week for 3800 a month *2 = 7600 + 3400= 11000 by the end of may.

If they are still unemployed they will keep getting 3800 a month until the end of July.

Their is ABSOLUTELY NO REASON PEOPLE CANT PAY THEIR RENT AT ALL. Even better is if people already filed their taxes they already have money in their savings like I do. Again no reason people can’t pay their rent even if they are on section 8 because my mother is on section 8 and she has no money saved but is still able to pay her rent in unemployment and then go back to work on the 13th of April.

I feel bad but the government is giving all your tenants plenty of Money to hold them until July. Oh and by the way the 950 os only for one person if both parents or the couple/ roommates are unemployed just double that to (2 People) 1900 a week and 7600 for the month *2= 15200(2 months of unemployment) + 3400(stimulus check in May) = $18600!

Again NOT EXCUSE!

@Jason Allen , a very refreshing post. Too often, people develop inflated egos and forget their own humble beginnings. Assuming of course there wasn't a sliver spoon involved. We are all in this together. In the commercial/industrial world there is a clause, namely "Force Majeure" which legally allows a tenant and landlord to breach contractual obligations. I am not certain if this is present in the residential realm. Personally, I do not advocate rental decreases. But I do think there is room for payment arrangements or outright breaches of contract. I feel some tenants are taking unfair advantage of the pandemic and others are genuinely struggling. Interesting point of discussion!

Originally posted by @Jason Allen :
Originally posted by @James Wise:
Originally posted by @Jason Allen:

I've been reading through the forums here and I've read a lot of posts about how the tenants should have the money saved up to pay rent in an emergency, and if not they should use a credit card or the money in their retirement account to pay rent.

Yes, they signed a contract to pay a certain dollar amount for a certain period of time but no one saw this disaster coming.

Instead of forcing them into debt or draining their retirement accounts why don't you just let them leave. Let them break the lease and go live with family or friends. Or you can give them a lower dollar amount to pay for the next 90 days.

The truth is that you should have adequate reserves for situations like this as a "professional investor". Try to have some compassion for the average person who makes very little money compared to you and probably lives paycheck to paycheck.

 Do you think it's practical to ask Grocery stores to give discounts on food whenever someone is having a tough time? Should Walmart do the same when they're selling t-shirts? Where do you draw the line?

 If it was the deciding factor in whether or not they stayed in business I'm sure they'd consider it.

I'm not saying let them live there for free. I'm saying to 1. agree on a lower payment and or 2. let them break the lease (keep the deposit if you'd like) BUT don't tell them to 1. leverage high interest credit cards, 2. use their retirement fund, 3. use their kids college fund, 4. etc...

 What does staying in business have to do with your thread? You haven't advocated for anything that would assist a struggling business from going under. Nor am I confident you'd even be qualified to do so.

Originally posted by @James Wise :
Originally posted by @Jason Allen:
Originally posted by @James Wise:
Originally posted by @Jason Allen:

I've been reading through the forums here and I've read a lot of posts about how the tenants should have the money saved up to pay rent in an emergency, and if not they should use a credit card or the money in their retirement account to pay rent.

Yes, they signed a contract to pay a certain dollar amount for a certain period of time but no one saw this disaster coming.

Instead of forcing them into debt or draining their retirement accounts why don't you just let them leave. Let them break the lease and go live with family or friends. Or you can give them a lower dollar amount to pay for the next 90 days.

The truth is that you should have adequate reserves for situations like this as a "professional investor". Try to have some compassion for the average person who makes very little money compared to you and probably lives paycheck to paycheck.

 Do you think it's practical to ask Grocery stores to give discounts on food whenever someone is having a tough time? Should Walmart do the same when they're selling t-shirts? Where do you draw the line?

 If it was the deciding factor in whether or not they stayed in business I'm sure they'd consider it.

I'm not saying let them live there for free. I'm saying to 1. agree on a lower payment and or 2. let them break the lease (keep the deposit if you'd like) BUT don't tell them to 1. leverage high interest credit cards, 2. use their retirement fund, 3. use their kids college fund, 4. etc...

 What does staying in business have to do with your thread? You haven't advocated for anything that would assist a struggling business keep from going under. Nor am I confident you'd even be qualified to do so.

james you being on the firing line with hundreds if not a thousand plus homes to manage I have to think you have had strategy communication with your owners and your tenants.. I just have one rental that is run by a PM and i have been getting updates from them on how they are planning to handle our tenant/property.. these are high end white collar professionals that i believe are still working.

I think the issue is not really a moral issue.. but it certainly is a reality issue.. Now 30 days ago I was pretty certain that without govmit help we were going to have an apocalypse in work force housing owners.. And made a post 30 days ago wanting to know how landlords would handle this as a business owner.. Most responded if they dont pay its not my problem and we evict etc.

As one who had to work out about 200 plus bad loans in the GFC that i held the paper on.. that taught me that workouts are best if you can do it.  No one should not pay their rent if they have the means.

And with all the fear on BP the last two weeks it appears through the stim package unemployment etc Big brother is going to come to the rescue and there should not be massive no pays.. at least I am thinking that.. 

The risk I see though for landlords is again kind of like the GFC were you had strategic defaults.. people made money they Could pay their mortgage but they chose to let their credit get trashed and squatted for years in many cases or walked.  I know at least how our C/D class renters operate and think ( having had 300 of those) and they get checks and I fear the last thing they are going to do is pay rent if they think there is a moratorium on paying etc.. that is where I see risk right now.

But working with tenants through this is just a REALITY and my thought is and us lenders learned the hard way that taking a tough stand with someone who cant pay you anyway is just going to lead to more trouble.

the idea that most renters have a 401k they can draw from or a big savings etc again in my experience at least in work force housing this thing dont really exist for many if not most.

Lastly one of my bizz partners owns a 150 unit B class in the northwest his manager sent an email and said be prepared for 40% no pays for one to three months.. now with all this bail out I dont think it will be that bad..  And for him who basically owns it free and clear its just lost revenue not a huge nut to crack..  But if you have 40% non pay with the crop of newbie syndicators and highly leveraged deals there could be some failures in those assets if this persisted for any length of time.

So bottom line now with bail out and with landlords being polite yet firm this should not be the worse case scenario many are worried about.

It has been a wake up call to highly  leveraged landlords though that 2 to 3 months reserves maybe inadequate for safety.

 

Originally posted by @Jason Allen :

I've been reading through the forums here and I've read a lot of posts about how the tenants should have the money saved up to pay rent in an emergency, and if not they should use a credit card or the money in their retirement account to pay rent.

Yes, they signed a contract to pay a certain dollar amount for a certain period of time but no one saw this disaster coming.

Instead of forcing them into debt or draining their retirement accounts why don't you just let them leave. Let them break the lease and go live with family or friends. Or you can give them a lower dollar amount to pay for the next 90 days.

The truth is that you should have adequate reserves for situations like this as a "professional investor". Try to have some compassion for the average person who makes very little money compared to you and probably lives paycheck to paycheck.

 Jason,

So now I'm a greedy pig because I expect people to pay me rent on a home I have a hundred grand invested in. As a "professional investor" I have purchased, renovated and made available a residence for a renter who would otherwise not be able to inhabit such a nice home. So then, I should allow them just not to pay me because times got tough for a minute.

News flash: It took years of hard work and sacrifice to build a Real Estate portfolio. Not 30 days of hardship.

Based on your less then brilliant criteria, there would be no "professional investors" in real estate any longer.  The masses would have no nice places to live and all would be fine in your make believe world.

Gary

Originally posted by @Anthony Wick :

@Jason Allen

I understand you just fine. And your message is very poorly written. My tenants financial well being is not my responsibility. And that is not “immoral”. We aren’t dealing in moral agreements here. We are dealing in a business transaction. I provide housing for rent. Nothing more, nothing less. And, tenants can break their lease any time they want. I am not forcing them to stay. But you wish for all landlords to act as parents, not landlords. You want us to help tenants financially, make the tough life decisions for them, and act as their security blanket during tough times. Why? Apparently, because we have more money than they do.

You’re not even asking for landlords to work with tenants, or defer rent payments. Nope. You said; let them leave with no consequences or allow them to pay less rent for 90 days. You said all of us should be doing this out of a sense of morality.

I honestly don’t care what others are doing. It’s their business to run as they choose. But you feel a sense of superiority in telling everybody what they should be doing. That is beyond the pale. So yes, I understand you just fine. I just don’t like it.

 Anthony,

I'm not sure you've even read anything I've written here.

You have written: "And, tenants can break their lease any time they want. I am not forcing them to stay."

This is exactly what I'm advising you to do if agreeing on a lower payment in the mean time is not possible.

I don't want you to pay their rent or be there parents... lol. I'm simply stating that 1. if you cant agree on a lower payment (because they don't have income) and/or 2. if number one is not possible let them break the lease and find a new tenant.

BUT to NOT ask them to leverage credit cards, retirement accounts and their kids college fund to pay rent when they could live for very cheap with friends or family.

Business and every thing you do in life inherently involves moral questions. What I have advised is both moral and good for business in the long run. Forcing your tenants to rack up late payments and fees is both immoral and not the most effective option for you as a business owner and investor. 

Originally posted by @Digna Del Orbe :

Note: I placed the following on a thread and I am putting it here as as well:

"Hello All,

I’d like to put this in the tenant’s perspective. I rent and that rent check is ready to go for April no matter what. I’m a health care worker but mid-March, we were sent home and may not return for another couple of weeks. Ugh.. I’m keeping a high chin and know that we’re going to come through this without adding to my landlord’s worries. But the rent will be paid

I’m sure some of your tenants have thoroughly considered, “hum that money I do have, I will instead save it for food and hoard more toilet paper”. This is a scarcity mentality. Perhaps this is a time when you can help bring education into the picture. Sometimes we assume people know about savings and emergency funds, etc.; I mean it does sound quite basic, right? Think about that time when you read “Rich Dad Poor Dad” and your mind did a 360 pivot and lo and behold a new perspective. Your tenants could probably use some pivot in their use of money. You may not see it as your job but here you are worrying about money yourself. What can you do to bring a little enlightenment to your tenants?

Communication with your tenant and encouraging your tenant to stay in touch is of utmost importance. Here’s a little story about my negotiation as a tenant: There was a time when I lived in Jersey, and went through surgery, chemo and radiation. I wrote a proposal to my landlord stating the situation and gave my BOLD proposal which was: asking to her to reduce my rent by $200 (from $1300 to $1100) for six months, then in 6 months I will pay her $1500/month until caught up. This angel landlord approved it; I was elated and I fully complied with that agreement and paid her despite working part time and four children to feed. Previous to this scenario, I had made other proposals that were all win-win. Let’s not go into agreement with scarcity. How can you and your tenants get in touch to create a win-win scenario despite Covid19?"

 Now as a tenant what if you couldn't pay the rent because you lost your income and didn't have savings.

Your landlord says "tough... rents due on the first" "you should use your credit card, or retirement account" "missed rent will result in you owing us on the back end along with late fees that inure daily"

What would you say to this...?

OR

The landlord instead offers an opportunity to negotiate on a lower payment for the next 30 days and if you're completely wiped out financially with no future income, the opportunity to break the lease early without the usual "two months rent + fees".

How would you respond to this...?

Which do you think is better from a business standpoint for the investor. 1) to hold you to the fire and later on have to evict you and sue you for specific performance after they've put you into debt using high interest credit cards or 2) to get you out and find a new tenant where everybody wins...???

Originally posted by @Chris Baxter :
Originally posted by @Jason Allen:
Originally posted by @Anthony Wick:

@Jason Allen

The bottom line is that these people are your tenants, they are your responsibility in that you provide them with housing, they rely on you, they depend on you ....

Tenants aren't my children and they aren't my responsibility.  Tenants are adults that need to learn how to make good decisions and take care of their basic needs, housing being second most important after food.  Tenants need to tap their OWN resources before I should be expected to dip into mine to help them.  This doesn't show a lack of empathy for the situation, but rather the reality of being an adult.  

 

Again... not advising we dip into our resources, rather advising that we instead of saying "rents due on the first, tough ****, deal with it" to instead agree on what they can pay (something is better than nothing) or to let them break the lease while we find a new tenant because they couldn't pay anyways. 

Lot's of ego on this forum.

 

Originally posted by @Anthony Wick :

@Jason Allen

I read more. And I’m baffled even more by your ideas.

Tenants should keep their retirement accounts, keep college fund savings, but we should offer them a rent reduction? I’m retiring in three years and I have two kids in college. But that doesn’t matter. I should work longer and my kids college doesn’t matter. Got it. Thanks.

You're obviously not reading what I've written, so I'm going to say sure... that's exactly what you should do.

 

Originally posted by @Patrick M. :

@Jason Allen is a true Professional tenant! 😆

For those not aware, this tenant has lectured us on how foolish we are for owning our rentals instead of renting them from others and subleasing them on Airbnb.

Guess what happened to our favorite professional tenant who told us all to enjoy foreclosure? Yep- you guessed it, he is left with a lot of Airbnb rentals and April's rent is coming due!

So now you understand the point of the thread. 

 Ha... I'm warning you about professional tenants because they exist and with the new "no eviction" policy you will have your work cut out for you if you screw them over... believe me.

My rental portfolio is fine and my multifamily properties are fine... if you read my posts on BP you'd quickly realize that I'm not over leveraged, i have way more reserves than I need and that I've invested in areas that make revenue year round. 

@James Wise , the original poster does not own properties. He has an interest in piling on landlords because he (proports) to have numerous outstanding leases on a number of rentals that he sublets on Airbnb. When things were going good, he told us all we were fools... now that things have gone south he wants to be able to simply "walk away" from the leases... He has started this thread purely out of self-interest. He has absolutely no interest in business models or anyone else's side of the story.

Originally posted by @Mary White :

Any landlord that's worth his salt will or already is working the situation out. Both landlords and tenants are responsible to cover their expenses. It all comes down to what kind of people do you choose to rent to. 

I have a lot of college students and OIT has taken everything online so the students are leaving. This means breaking their leases. My agreement with them is that if they will take the time to leave the property really clean and in good shape, that I will let them out of their leases so they can go home to families. My tenants are happy and I will have an easier time with turn over. So far, the tenants have left the units in excellent condition. It's not a good scenario for me, but I'm making the best of it. 

I do have some regular working folks and a couple have notified me that they're laid off and will do their best to pay rent. I told them to get it to me as they can and there wouldn't be late fee. The plan is to make monthly payments and I'll have the full amount by the end of the month. 

My point is that if you rent to good people, this isn't hard to work through. I treat them with respect and they return the favor. Jerk landlords will get weeded out just like bad tenants run out of good places to live. People should back off each other and let the economic crisis clean house. 

 You wrote: "I do have some regular working folks and a couple have notified me that they're laid off and will do their best to pay rent. I told them to get it to me as they can and there wouldn't be late fee."

This here is exactly the kind of thinking that I'm advocating here... not giving away your business or being someones parent. Some of you people here apparently haven't read anything I've written or if you have it's been completely obscured by the lens you're looking through. 

Originally posted by @Kassandra Perez :

@Jason Allen I think honestly tenants should be able to pay rent with this new bill passed, if your tenants are laid off or unemployed for any reason the are getting an ADDITIONAL 600 a WEEK for 4 months on top of their regular unemployment. I live in PA and the max Unemployment 450 a week (it might be more or loss depending on where you live).

Now with the new stimulus bill they will be getting 950 a week in PA. PLUS on top of that they will also in may be getting 1200 a person and 500 a child, so if you have 4 tenants living in a household 2 adults and 2 children that would be 2400 for the adults and 1000 for the children for a total of 3400!.

I currently rent an apartment and our landlord already sent a letter out saying if we can’t pay April and May rent he will add an additional 100 a month after may until the 2 months of rent is paid off which I think is very reasonable.

Me becoming an investor I see it as this; family of 4 getting 3400 in May about 950 a week for 3800 a month *2 = 7600 + 3400= 11000 by the end of may.

If they are still unemployed they will keep getting 3800 a month until the end of July.

Their is ABSOLUTELY NO REASON PEOPLE CANT PAY THEIR RENT AT ALL. Even better is if people already filed their taxes they already have money in their savings like I do. Again no reason people can’t pay their rent even if they are on section 8 because my mother is on section 8 and she has no money saved but is still able to pay her rent in unemployment and then go back to work on the 13th of April.

I feel bad but the government is giving all your tenants plenty of Money to hold them until July. Oh and by the way the 950 os only for one person if both parents or the couple/ roommates are unemployed just double that to (2 People) 1900 a week and 7600 for the month *2= 15200(2 months of unemployment) + 3400(stimulus check in May) = $18600!

Again NOT EXCUSE!

 Helping your tenants access government assistance is your responsibility as a tenant... (oh that's gonna get some bad comments) if you want to guarantee you get paid.

I would like to see all of your resources for those numbers because I have not seen anything nearly that high.

But well done in the mean time. 

Originally posted by @Brett Peters :

@Jason Allen, a very refreshing post. Too often, people develop inflated egos and forget their own humble beginnings. Assuming of course there wasn't a sliver spoon involved. We are all in this together. In the commercial/industrial world there is a clause, namely "Force Majeure" which legally allows a tenant and landlord to breach contractual obligations. I am not certain if this is present in the residential realm. Personally, I do not advocate rental decreases. But I do think there is room for payment arrangements or outright breaches of contract. I feel some tenants are taking unfair advantage of the pandemic and others are genuinely struggling. Interesting point of discussion!


I personally think the inflated ego's and negative comments are coming from a place of fear.

A lot of times in fear our first psychological response is to fight, in this case the enemy is their tenant. This I'm advocating is the wrong response.

Instead landlords should take a deep breath and allow the stress hormones and neurotransmitters in their body to subside and then make a rational win/win strategy.

 

Originally posted by @James Wise :
Originally posted by @Jason Allen:
Originally posted by @James Wise:
Originally posted by @Jason Allen:

I've been reading through the forums here and I've read a lot of posts about how the tenants should have the money saved up to pay rent in an emergency, and if not they should use a credit card or the money in their retirement account to pay rent.

Yes, they signed a contract to pay a certain dollar amount for a certain period of time but no one saw this disaster coming.

Instead of forcing them into debt or draining their retirement accounts why don't you just let them leave. Let them break the lease and go live with family or friends. Or you can give them a lower dollar amount to pay for the next 90 days.

The truth is that you should have adequate reserves for situations like this as a "professional investor". Try to have some compassion for the average person who makes very little money compared to you and probably lives paycheck to paycheck.

 Do you think it's practical to ask Grocery stores to give discounts on food whenever someone is having a tough time? Should Walmart do the same when they're selling t-shirts? Where do you draw the line?

 If it was the deciding factor in whether or not they stayed in business I'm sure they'd consider it.

I'm not saying let them live there for free. I'm saying to 1. agree on a lower payment and or 2. let them break the lease (keep the deposit if you'd like) BUT don't tell them to 1. leverage high interest credit cards, 2. use their retirement fund, 3. use their kids college fund, 4. etc...

 What does staying in business have to do with your thread? You haven't advocated for anything that would assist a struggling business from going under. Nor am I confident you'd even be qualified to do so.

 Ha... let the negative comments begin.

If you read the forum post and my responses to various members you'll figure it out... that is if you're qualified to read.