Real Answers for Life’s Money Challenges
I own a six-unit apartment building.
One tenant with a wife and child has not paid rent since March.
He is a taxi driver.
In four months, he gave me a payment of $375.
His monthly rent is $1,050.
We worked so hard all our lives to have something for old age.
Im 80 and need the income.
To hire a lawyer would require spending more money, and it could take months to evict them.
What can we do to get paid by this family?
What right does an owner have?
-H.
Dear H.,
Governors cant just snap their fingers and make a tenants rent obligation disappear.
Your tenant is still responsible for that payment.
Some people are no doubt abusing eviction moratoriums aimed at preventing an unprecedented wave of homelessness.
But I think theres a good chance this man isnt one of them.
Your tenants way of earning a living has been put on hold.
Plus a lot of people are still working from home.
That adds up to a lot less demand for cab drivers.
That said, youre a landlord, not a charity.
Your way of earning a living has been affected as well.
Its simply to understand what your rights are.
Probably not as good as youd like.
It always seems like an uphill battle to build (and keep) a decent amount in savings.
But what if your car breaks down, or you have a sudden medical bill?
Ask one of these companies to help…
In the interim, your ability to collect rent depends on your tenant.
If he drives a taxi, hes probably an independent contractor.
Or perhaps he could make reduced payments for now so that youre at least getting something.
A local attorney may also know about renter relief programs available through your city or state.
it’s crucial that you make peace with the fact that you may not ever get your uncollected rent.
If you evict the tenant, your odds are pretty much zilch.
Ultimately, eviction may be necessary.
But you and your tenant will be better off if you could avoid it.
Work together if at all possible, and use the courts as a last resort.
Robin Hartill is a certified financial planner and a senior editor at The Penny Hoarder.
Send your tricky money questions to[email protected].
(Can you sense my millennial sarcasm there?)
You know which ones were talking about: rent, utilities, cell phone bill, insurance, groceries…
