Renting to Illegal Immigrants

[Frank S.]

I read this article and at the end, the writer said it is better to rent to an illegal immigrant than not to. I have my thoughts but I was wondering what are your thoughts? I'm in the conservative state of Texas but live in a liberal part of Houston, which is one, if not the most diverse city in America.

[Nathan Gesner]

I've had this discussion with hundreds of property managers around the country. The consensus? It depends on whether you are a leftist or a conservative.

Here's a direct quote from FEDERAL law:

If I knew they were in this country illegally, I will not rent to them. First, it's a violation of the law. Second, it's a big risk for my investment because they could decide to leave in the middle of the night and I have no recourse or they could be hauled off by ICE.

Some people claim this is a violation of Fair Housing. I think it's an example of wrong-headed, contradictory regulation. 

How do I protect myself from violating Fair Housing? I apply screening policies that are fair, legal, and reasonable. I require all applicants to submit to a credit/criminal background. This requires a social security number, date of birth, government issued picture ID, etc. If someone is in the country illegally, they won't be able to provide the needed information and they'll move along. If they are here legally, they can provide the necessary documentation to demonstrate that and I can run my background check.