Charging different rental rates based on risk .

[Matthew Paul]

Mortgage companies do this all the time , lower credit score , you pay a higher interest rate , pmi etc.   Now  lets say I advertise my house for rent on the low end with a disclaimer. " rental rate based on a credit score of 715 rental  rate increases as your score drops. "   Now I am sure everyone would apply expecting the low rate , causing some potential problems .  I was wondering how it may go over.

[Upen Patel]

@Matthew Paul That is a violation of Fair Housing laws and your states landlord/tenant laws. While you can base your decision on their credit report, you can charge different rent based on credit.

Personally, if I see the rental as risky, then I would not rent. Having an additional month or two of rent is going to do you no good, if the tenant is a PITA. I am talking from experience.

Upen Patel