rent reduction to reimburse tenants?

[Scott Smith]

Hello - A tenant in a property within my IRA/LLC is going to purchase a garage door opener to replace a failed one. 50 bucks. Can I let that transpire, and reduce that cost from her rent? Seems fine but I want to check.

Thanks for the help.

Scott

[Ned J.]

You can....but I wouldn't.

Keep rent and expenses separate..... they pay you the full rent and you pay the expenses separate by either buying the materials yourself or paying them back when they provide receipts etc. Everything is approved BEFORE it happens

Better for bookkeeping and it stops a tenant from pulling "I fixed the faucet in the bathroom and a screen door so I took $100 off the rent this month...ok?" And some tenants will start to look for things they can "fix" to get some $$ off the rent...bad idea