No security deposit to friends - discrimination ?

[Peter Morgan]

Hello,

I know it’s not a great idea to rent to friends but suppose I rent one of my apartments in a multifamily home to a good friend of mine without a security deposit and if other tenants get to know about it will that be perceived as a discrimination by landlord tenant laws? I will appreciate your inputs .

Thanks

[Mason Hickman]

@Peter Morgan

Treat every tenant the same, PERIOD. This will help insulate you if you ever have discrimination or fair housing lawsuits against you. If there is an “exception,” make it part of your written policy and make sure to offer the exception to anyone who fits your criteria.

Also, why don’t you want a security deposit from your friend? Treat your real estate like a business and your friend will receive their security deposit back when they leave your property sparkling clean as you expect them to.