Sweet 80 year old tenant can’t afford rent

[Sheena R Roth]

We are under contract on a side by side duplex near our hometown in Ohio. We just found out that we are inheriting the sweetest 80 year old tenant who has lived in the place for 20 years.

Market rent is $950+. This little lady is paying $475… there’s no way we can afford to pay market price on the purchase and keep her rent anywhere close to that low. We basically have to get her to $750 to break even on her unit but she can’t afford to pay that much on her SS income.

She has no computer or skills to use one. I can’t bear the thought of raising her rent and leaving her to try and figure out her options by herself so I’m trying to line up some options to bring to her.

The most obvious choice would be to find herself a roommate.

The only other option I’ve found is Section 8. However, I’ve been told that it could take years for us to get the both her and home into Section 8 program. They also mentioned that since she has a place to live right now she would be placed low on the waiting list.

I struck out on the Agency Center on Aging. United Way, and misc charities in our area.

Any other ideas for possible rent assistance specific to senior citizens?

[Bill F.]

@Sheena R Roth

When posts like these pop up trope and trite lines about "realties" of being a landlord or how we run business, not charities get thrown around like lawn furniture in a tornado, but they miss one salient fact: it costs nothing to type that advice, but you'll be the one that has to follow through on it and live with the consequences. They don't have to wake up every morning and look themselves in the face while brushing their teeth and know that as a direct result of their actions an elderly person is homeless, but you would. Thus I'd take most of that advice with a hearty grain of salt. 

What goals do you have for this property? Do you want to house hack, have this as long term rental, or something else?  

If you intend to have this for the long term, I think you have a few options. 

1. Talk to the seller and get a haircut for cleaning up the situation that they couldn't/wouldn't deal with. That makes up for the next few years of reduced cash flow. 

2. Talk to the agents involved and see if they have experienced anything like this, know of any other charities in the area, or would be willing to chip in a few points of their commesion to help this lady out. 

3. Ask  yourself if you need to solve this problem before you buy or if you could take 12-18 months to figure out the best solution that results in a win-win for you and her. 

4. Accept that this will be your charity donation for the next few years. 

5. Buy the property, raise the rent, and evict her.  

Best of luck and kudos to you for the hard work you've done so far trying to find a way to help this person out.