Would you approve these applicants?

Question

Hello BP community. Need some advice on how I should proceed with applicants I have for one of my rental properties. It is a couple and the woman is taking a job as a OBGYN making $347,000/yr . Her credit score is great and her screening came back flawless. However, her boyfriend who she will be living with has a prior eviction, and over 20 late payments between his auto loan and credit cards. I want to approve them just based off the woman alone but I'm wondering if I should think twice being that the boyfriends screening came back so underwhelming. How would you handle this situation?

Ned J. · Answer

OB/GYN can make a LOT of $$ but also have a lot of expenses...school loans, liability insurance etc etc. The salary does seem really high right out of residency....As long as all her info is verified and double checked, I would be ok.My one concerns..... this smells like s short term tenant. If she owns a home already and makes that kind of salary, this is a "I'm going to rent until I find a home to buy". I prefer someone that is likely to stay 3-5 years, but its impossible to predict that happening or not

Tim Miller · Answer

I'm with Joseph on this, need more info but I smell a rat. Just being honest. Why would someone making $300k + a year want to only rent? Can you actually verify that she is a true Doctor? Can you 100% verify that she truly makes $347,000 a year? Again, something is just not adding up here.Our process is simple, everyone has to fill out an application and everyone has to meet our requirements to get approved. The boyfriend alone would disqualify their application for any of our units. Good luck

Joseph Beilke · Answer

@Mike MendesOBGYN making that kinda money has to have been in practice for many years. What verification did you do to make sure her offer was legit. I would dig a little more on her back ground. Second we need more info to really help you. AGE, how long ago was BF the eviction, 20 late payment over what time span. What's his credit score, was the auto repoed? What class neighborhood is this property in. A Dr in my option with good income and great credit would only be looking in A and A+ neighborhoods, does this rental fall in that category? Please share more.

Joseph Beilke · Answer

@Mike MendesOkay, so the BF doesn't look as bad as I thought with 686 Credit score. What's his income, and job status. I have a few DR friends, not many make 300K even 10 years after residency. Something seem off with this $347K offer unless this is her total compensation package value. Which includes benefits paid, partnership, tuition reimbursement etc...... So her take home pay could be much less.What are you asking for rent? How long has your property been Vacant?I would verify her Medical license status in NC. I would call her place of residency for work verification and pervious pay, and would they rehire?I understand wanting to be close to the medical center for on call status.

Scott Mac · Answer

Conviction for what? Cocaine dealing, Premeditated Murder? Drunk and disorderly at a 4th of July pick nick, Driving under the influence, Speeding, AWOL from the Navy?

Laura Shinkle · Answer

This isn't really what you were asking for, but I'll throw it out anyway. To prevent a situation like this ahead of time, I'd recommend writing a list of what acceptable terms you have to accept a tenant or decline them. Picking and choosing what you'll accept opens you up to liability if a tenant claims you discriminated against them. If the eviction makes you nervous and is part of your criteria of why a tenant would be denied (ie no evictions in the past 5 years or something like that) then either deny them both or put the lease only in her name. Just make sure it's a policy that you have so that you make sure you treat everyone the same. Just my two cents.

Keith N. · Answer

No

John Morgan · Answer

@Mike MendesI’d take them. Just put the lease in her name and call it good. My tenants are always breaking up over the years. It’s too hard to keep track of all of them so I keep things simple and put the leases in the main person’s name.

Mike Mendes · Answer

He brings in $4,300/month as a operations manager and drives uber.This is what her contract stated as far as compensation.I'm asking $2200 for rent. the property has been vacant for about a month now as I've just finished renovating the property after the last tenant. I agree that I need to dig a little more

Mike Mendes · Answer

She owns a home in Georgia which is confirmed on her credit report. She got a new job in Charlotte, NC. She has decided to take the offer and rent out her home in Georgia. I've verified that she completed her residency and currently works at a medical center in Georgia. I'm still trying to verify the validity of her contractual agreement for her new role for 347k in Charlotte. Everything she's shared checks out, but I do still need to speak to her human resources department to confirm her new role and salary.I agree with you, the BF definitely makes me want to move on from them due to the eviction. The case type was listed as "civil dismissal".