what do you do? Tenant with prison past.

Question

Mother in law of tenants want to lease with option to buy my property for her daughter and son-in-law.
Son-in-law has a prison record for aggravated assult. Out for 3 years ....he gave me patrol officers contact information willingly said he's not been in any trouble since. (of course I will check everything out once I decide whether to even take the application) I know the mother in law...she will pay no problem.
I've had church people, teachers, police officers and everyone in between trash my properties but have never rented to a patrolee..so frankly...I just don't know.
Advice?

Brian Gibbons · Answer

Hi Steve Babiak and DG Henderson

In Texas you do need to do it right,  @John Jackson is your man for TX.  For Texans, you may want to read up here.

http://www.lonestarlandlaw.com/Lease-Options.html

Right of First Refusal in TX is another strategy.  See http://www.lonestarlandlaw.com/Right-of-First.html

Hope that helps the good ole boys and gals in TX.

Brian

Deborah Saddler · Answer

DG Henderson, I kind of agree with Mike H, I do believe in second chances, but I would definitely look at eviction information and their criminal record.  If their job profession is not stable, then that would be another problem.

Mike H. · Answer

I agree with the extra deposit and then getting the mother in law to cosign.  If they do start having any kind of financial problems, they'll be more inclined to move in with the mom to avoid her taking a hit on her record.

And the mom will be more likely to take them in.

To me, thats the beauty of the cosigner. The tenants are more likely to have a place to stay as the cosigner would much rather suck it up and have them move in then get sued for the eviction amount.

That being said, I would have a problem with the record. Not so much because I'm against giving people a second chance. But the fact remains that its much harder for people with a conviction on their record to get a job.  So if they lose the one they have, they're probably going to have a hard time getting another one.
And that means no rent for me.

So I do have an absolute rule as part of my leasing factors - no evictions and no criminal. I can work with just about anything else.

Robert Adams · Answer

I agree with the get a large deposit that is non-refundable and proceed. I also agree that I would be more concerned with evictions rather than a record.

Mary B. · Answer

Give a guy a second chance, someone has to. He has a family and it a parolee yes but its a lease with option to buy so if it doesn't work out you can always evict or raise the rent high enough they'll move. Hopefully it won't come to that.

kudos,
Mary

Joel Owens · Answer

Check what the offense was for. Even if they have turned over a new leaf if they hang around or even have mild association with the old crowd they will get sucked in again and start having problems. I have seen it happen with some tenants of mine before in the past.

If they have created a new life and a new history and completely cut off the bad element from the past then chances are good they will stay on track.

Brian Mathews · Answer

If he hasn't been in trouble in 3 years and holds a job.  I see no reason not to rent to him.  Check his records through the county in which he has resided the last few years.  I can do it here in Williamson County for free.  You can check the DPS website  and I think it costs $2 to check his record.

John Chapman · Answer

I guess my initial reaction is, "m'eh."  I've rented to people with records and have not really had any issue.  If it was a one-time thing and didn't involve something that could really be a problem (read: drug dealing and sex offenses), then I'm not sure how it's that big of a deal, particularly if it's been years since he's been released.  (I'm assuming his conviction was for something like getting in bar fight or something)  Frankly, in my experience, the biggest thing for determining ability to pay is evictions.   I'd probably rent to a convicted murderer before I'd rent to someone with evictions.  (obviously being a little tongue and cheek, but you get my idea.)

Steve Babiak · Answer

Oh, and in TX you have to be careful with the lease option ... I'm sure my mentioning it will bring on some of the experts to comment.

Steve Babiak · Answer

See this similar thread:

http://www.biggerpockets.com/forums/52/topics/92685-tenant-with-a-theft-charge-and-cosigner

what do you do? Tenant with prison past.

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