1 years rent up front

[Berdine Ramos]

We have a rental opening up Nov 1, and have one applicant with a credit score of 790 offering to pay the full years rent up front. Red flag?

Thank You

[Bjorn Ahlblad]

For me it is a red flag and requires extra screening. Why would a sane person with a very healthy credit score want to do that? In some states you are not allowed to accept that much up front. You accept it and it is taxed in the current year LL books are on a cash basis. Let's say for some reason you are asked to pay some of it back-then what. 

Generally when an applicant waves money under a LL's nose they want you to limit your screening and not uncover their serious warts. Maybe the property was not for her, it was for someone else who is now cooking meth in your house. But you don't see the need to inspect because you got money up front.

I would not rule the applicant out. I would screen them a lot more closely than otherwise.

Screen like your life depends on it, because it does!