Real Estate

Tenant no income question

  • Last Updated:
  • Jan 4th, 2018 6:00 pm
[OP]
Member
Dec 20, 2009
239 posts
28 upvotes
Mississauga

Tenant no income question

I am reviewing a tenant that has no income. He is a student and parents will show pay stubs and pay for them.

How should I go about this? Shall the parents complete the Application form or the tenant? What should I ask from them?
5 replies
Deal Guru
User avatar
Mar 23, 2008
12088 posts
8382 upvotes
Edmonton
Bronson Charley wrote: I am reviewing a tenant that has no income. He is a student and parents will show pay stubs and pay for them.

How should I go about this? Shall the parents complete the Application form or the tenant? What should I ask from them?
Im no expert, but I’m going to guess that the more people you can get to sign the lease agreement, the better. Because you will only be able to go after those people if the tenant stops paying rent or breaks the lease (or damages the property). Having the parents promise to pay won’t help you if the kid drops out halfway through the year and moves home.

Also keep in mind that kids moving out on their own are often clueless with regards to things like utility costs, maintenance, etc. Make sure your interests are covered.

C
Deal Addict
Feb 25, 2007
2639 posts
448 upvotes
if parents income check out ok, then I wouldn't have any problems renting to the student, how else would most students be able to rent a place. I would ask the parents be on the application form also. Renting to students come with other stuff, like maybe too much partying, but really it could be hit or miss
Deal Fanatic
Mar 15, 2005
5463 posts
1010 upvotes
Should be fine as long as they put their name on the lease.
Member
Apr 6, 2009
329 posts
66 upvotes
Proceed as if the parents are renting from you eg parents and child should sign all documents - lease agreement, rental application form. Get employment letter and credit report of parents.
Deal Fanatic
User avatar
Feb 2, 2014
8765 posts
2508 upvotes
Toronto
Just adding to what has been said.

Lease the premise to the children and parents. Put them all on the lease and do your diligence on them.
Kevin Somnauth, CFA
Principal Broker - First Toronto Mortgage - MA (Ontario #13176, BC #X301007)
Real Estate Salesperson - Century 21 Innovative

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