Question:
“I’m not sure I’m cut out to be a real estate investor. You’d have to be so heartless. How could you ever evict someone who’s down on their luck and can’t pay the rent?”
Answer:
I admire your thoughtfulness and caring. The world would be a better place with more people like you in it.
However, you must view owning rental real estate as the business that it is. Try loading up your shopping cart at Costco and telling the cashier you’ll take the food now, but you promise you’ll pay them in 2 weeks. Ain’t gonna fly.
When people rent an apartment, it’s understood that if they don’t pay the rent, they can’t stay. You know that. The tenant knows that. So if you have to evict them, you’re just keeping your part of the bargain, however unpleasant.
Does that mean you don’t give good tenants a break once in awhile?
I cut good tenants some slack now and then, giving them a couple of extra weeks to pay, waiving a late charge, etc. But this flexibility is only short-term and not for chronic late-payers.
My advice: Toughen up, hire a manager, or don’t become a landlord.
