Renting to Family

Discussion in 'Landlord & Rental Property Questions' started by cmiller, Jun 23, 2014.

  1. Peninha

    Peninha Senior Investor

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    Yes, it can be tricky. If you are doing well financially and you have family members in trouble you can just sell them the house cheap or arrange a one time deal, a monthly rent can be something that will give trouble... or not.
     
  2. Annabell

    Annabell Well-Known Member

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    I know that a lot of people will instantly say no, but I'd have no problem with it really. I know the issues people have with it, but I know my family, and I'd just treat them the way I already do. They'd likewise treat me as they would any other landlord.
     
  3. May102014

    May102014 Well-Known Member

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    Whew! Not to members of my family. With the exception of my parents I wouldn't even rent to my siblings. I love them dearly, but they are incredibly irresponsible for adults. I take situations like rental property seriously. While I do help my family with financial means as much as I can, I cannot tie myself to allowing someone to ruin my reputation in the rental business. Not at all. The sad truth is with some of my family members they don't take me seriously and assume they can forego paying rent because I am a relative. With this kind of mentality I cannot and will not take a risk on renting an apartment, house, or condo to them.
     
  4. Gelsemium

    Gelsemium Senior Investor

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    I suppose this really depends on the relations you have with your family. For me it would be awkward to be the landlord of any of my family members, but on the other hand things could run smoothly as well, so I guess it would depend on the person, but in a case of problems what would you do?
     
  5. Determined2014

    Determined2014 Guest

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    I would never rent to a family member, because it comes with complications, most family members will not take paying rent to you seriously, when it comes to eveicting them ,when they have not paid rent the process becoomes very difficult which ennds up causing conflict.
     
  6. Annabell

    Annabell Well-Known Member

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    I suppose it does very much depend on your family, so I guess I'm lucky in that regard. As for problems, it would depend upon the problem exactly. Tenant doesn't have the rent for that month? I'd let it slide regardless. They can pay me when they have the money. If it's a noise complaint, treat it as I would with anyone-tell them to cut it out because people have been complaining.
     
  7. Kate

    Kate Senior Investor

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    :D Maybe in some cases, but not in mine. I have a great relationship with my family... every single one of them, and it's a huge family. We've always been very close.

    They'd do anything for me, and I'd do anything for them... therein lies the problem. :eek: If I'd be renting to a sibling, as an example, and they would have just had to pay to take a sick child to the doctor... well, bottom line, I'm a softie and would probably knock it off the rent so they wouldn't have to struggle that month. I'd be a lousy business person doing that kind of thing, wouldn't I?!

    Hehe Maybe I'd end up owing THEM money! Just kidding, but funny thought!
     
  8. Peninha

    Peninha Senior Investor

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    Yep, that's exactly what would happen Kate. For example, you'd want to go on vacation with your sister and she says she has no money, next thing you know she's skipping rent to go with you.
     
  9. JoshD1990

    JoshD1990 Active Member

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    If they were in dire conditions and needed a temporary place? Sure.

    However, I will not be the landlord to a family member and deal with the drama that will SURELY come along.
     
  10. Kate

    Kate Senior Investor

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    :D Yes. If I'd be independently wealthy, that's exactly what would happen. *BUT* as an investment property, it would be foolish for a landlord to start handing out freebies just because someone is a family member. I'm thinking I wouldn't stay independently wealthy for very long making choices like that.

    Only choice I see (except for the disclaimer we discussed here about emergency situations) is not renting to family members in the first place. :eek:
     

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