With so many homes going into foreclosure each month it can be very scary for a renter these days. Usually, it’s the tenants who need to prove their credit worthiness to the landlord. Looks like the tables may be turning and hey, why shouldn’t they be? So many landlords can’t afford to pay their mortgages on their rental properties and who is paying the price, (literally) the tenants.
Landlords who can’t afford to pay their own mortgages on their rental properties rent out the place to some poor unsuspecting tenant but not before making them prove they have great credit as well as the funds to pay each month when they very well know that they themselves if the roles were reversed, wouldn’t be able to rent their own properties. But instead of paying the mortgage with the tenant’s money each month, they just pocket the money leaving the mortgage to go unpaid and eventually go into foreclosure leaving the tenant homeless and confused.
So why shouldn’t landlords need to prove to tenants that they are current on their mortgage? It is my professional opinion, as an expert REALTOR® who’s job it is to protect my clients, that they should need to prove to the tenant that they have been paying their mortgage each and every month and if they can’t well then they shouldn’t be allowed to rent their place out to anyone.
I realize that this might not be such a new situation however it is happening more and more frequently given the financial stress so many are now facing each and every day. Tenants are not going to be thinking about the landlord’s financial situation which is where we as REALTORS® come in. It’s our job to protect our client’s best interests and by demanding landlord’s show us their financial situation, we will be demonstrating our loyalty, professionalism, expertise and value as REALTORS® to the tenant as well as the general public.
I’d love to know your thoughts regarding this matter. Feel free to comment below.
Renee Porsia is an expert real estate Broker, author and real estate instructor with RE/MAX Action, To view more articles by Renee Porsia, please visit her popular blog at http://www.reneeporsia.wordpress.com
- Your Landlord is in Foreclosure. What are your rights as a Tenant? (nextgenrecorp.wordpress.com)
- Latest Foreclosure Scam Involving Landlords and Tenants (johnmurphyreports.com)
- How the mortgage crisis is allowing landlords to push up rental rates (dailymail.co.uk)
- Tenants don’t have foreclosure-act protections in short sales (livingincincy.wordpress.com)