The Future of Rent Payments from C Class Tenants - COVID-19

[Jay Dertzbaugh]

BP Nation:

In this time of uncertainly, many real estate investors are putting deals on hold waiting for any sign of stability. Personally, I have increasing concern surrounding my existing properties. I am an out of state investor that focuses on C class properties and most of my tenants are plumbers, restaurant workers, hair stylist, and other blue collar workers. The reality is, most of them also live paycheck to paycheck. What happens when all restaurants and other places of work close due to COVID-19 and they can no longer make their monthly rent payments? 

From my perspective, ensuring you have adequate cash reserves and evaluating refi options at this time can help prepare for this unknown but I am anxious to hear from others. 

@Jonathan Farber