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    Has anyone asked or been asked about lowering rent?

    I just found myself in the second. I have been asked to lower rent by 1/3 until this is over. That could be next month or several, how do we know. Do I ask to get paid back? Pay back in installments? Say sure and lose my income?

    This is the third problem that popped up since this happened, nothing life threating, but I just know what to do with this uncomfortable one.
    🌺 Lorie

    #2
    Stick to your price. You may have to get it in installments, but they will eventually have to catch up, so you won't be out.
    TRUTH is seldom appreciated, unless you happen to agree with it. When you don't agree, you just call it rude.

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      #3
      Have they been laid off or had a cut in hours? If the answer to either of those questions is no, stick with the rent.

      Are you talking about good renters here? Have they had a pay cut or lost their jobs? If the answer is yes to either of those questions, I would find a way to work with them and come up with some sort of payment plan to make up the lost rent if you drop the rent for a short time. If the loss of money is not a hardship to you and you like them and want them to continue to be your renters, let it go.

      You have a management company don't you? Ask them what other clients are doing. Maybe they can guide you.
      pat.

      No rain....no rainbows!


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      If you can't be nice.....BE QUIET!

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        #4
        Originally posted by bubba View Post
        Have they been laid off or had a cut in hours? If the answer to either of those questions is no, stick with the rent.

        Are you talking about good renters here? Have they had a pay cut or lost their jobs? If the answer is yes to either of those questions, I would find a way to work with them and come up with some sort of payment plan to make up the lost rent if you drop the rent for a short time. If the loss of money is not a hardship to you and you like them and want them to continue to be your renters, let it go.

        You have a management company don't you? Ask them what other clients are doing. Maybe they can guide you.
        She didn't have hours cut, she had to close a retail shop she owns that sells art and I don't know what else. She says house owners have mortgage insurance for this but not tenants. I don't have a mortgage on that house. My auntie gifted it to me. If she owns a store, wouldn't she have her own insurance?

        I don't have a manager that I pay, but someone that I pay when there is a renter switch for cleaning, or helps me find a gardener ect. It's hard to explain, except she never got a licence to be one. I emailed her, but sometimes she takes awhile to get back to me.
        🌺 Lorie

        Comment


          #5
          Homeowners only have insurance like that during the term of their loan, IF, they pay a lot extra for it. I know people renting in the San Francisco area and their rent hasn't been lowered at all.
          K is for Karen 😊​..................
          Cremation - My last hope for a smokin' hot body.


          Before you speak,
          T - is it TRUE?
          H - is it HELPFUL?
          I - is it INSPIRING?
          N - is it NECESSARY?
          K - is it KIND?

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            #6
            Sounds like a private rental agreement. We are in one, my BF has been hit since he's self employed and sells health insurance. Me, I work for a great company and I still put in 40 hours a week from home. We still pay full rent. Just saying, you would make up your own terms. If you feel like you can afford to take the loss, that's what it would be. There are SB loans being offered to assist her and others. I work with the hospitality industry indirectly and they are all taking advantage of this. I would say have an honest conversation with her and find out what she's doing on her part before you feel sorry and hurt your financial situation. It's uncomfortable sorry. Yes, she should have insurance for natural disasters (that's what this is considered).

            Comment


              #7
              Originally posted by K. McEuen View Post
              Homeowners only have insurance like that during the term of their loan, IF, they pay a lot extra for it. I know people renting in the San Francisco area and their rent hasn't been lowered at all.
              Thanks Karen that got me to be better informed.
              🌺 Lorie

              Comment


                #8
                Lori, just remember as my Grandma use to say:, somethin' is better than nothin'.

                If you do decide to work out a new agreement, whether it's reduced rent or a pay back schedule, be sure you get it in writing and that you both sign the agreement.

                Comment


                  #9
                  Originally posted by Momofmonsters5 View Post
                  Sounds like a private rental agreement. We are in one, my BF has been hit since he's self employed and sells health insurance. Me, I work for a great company and I still put in 40 hours a week from home. We still pay full rent. Just saying, you would make up your own terms. If you feel like you can afford to take the loss, that's what it would be. There are SB loans being offered to assist her and others. I work with the hospitality industry indirectly and they are all taking advantage of this. I would say have an honest conversation with her and find out what she's doing on her part before you feel sorry and hurt your financial situation. It's uncomfortable sorry. Yes, she should have insurance for natural disasters (that's what this is considered).
                  I don't know how to bring this stuff up to them or ask her that because I have never met them in person, only emails. Yikes. I am going to tell her homeowners insurance doesn't cover me lowering the rent. lol I'm going to wait until my realtor gets back to me, she knows this neighborhood better than anyone.

                  I sent your pkg today 📦
                  🌺 Lorie

                  Comment


                    #10
                    That's a tricky situation and it could get worse in other areas. It's a bit difficult if you've never met the individual. If there was something they could do in exchange.

                    My husband owns the apartment his youngest rents, and he is currently not working he is now receiving the govt benefit so he should be ok. DH has a mortgage on that property, but what he pays covers it. And there is no way he is moving back here.


                    Enjoy life and do what makes you happy. Everything else will follow.

                    Every day I try to do one thing that challenges my comfort zone.

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                      #11
                      I think that is a hard call. I have wondered about landlords and rent. Some older people have rental income properties and that is there only source of income or they need the rent to cover mortgages, taxes, insurance ect. on the property. If you are privately renting to them without a management company whatever you do I think I would have it in writing.
                      Last edited by TMP; April 12, 2020, 10:21 AM.

                      Comment


                        #12
                        Originally posted by TMP View Post
                        I think that is a hard call. I have wondered about landlords and rent. Some older people have rental income properties and that is there only source of income or they need the rent to cover mortgages, taxes, insurance ect. on the property. If you are privately renting to them without a management company whatever you do I think I would have it in writing.
                        That would be me. I think some people think if you live in Hawaii you are in the rich population too. It's so far from the truth. I always wonder what my renters think?

                        It's too late to put a pandemic in writing. Sigh

                        🌺 Lorie

                        Comment


                          #13
                          If you have a lease, it is a contract. They may ask to renegotiate the contract, but you are under no obligation to do so. However, if they are otherwise good tenants, you may want to consider having the discussion. Acknowledge that their financial circumstances have changed, and encourage them to explore the economic relief packages from the Small Business Administration. But be sure they understand that reducing the rent equals reducing your income, which you are depending on to live. And the costs to you of owning the property (taxes, maintenance, etc.) have not gone down. The renters continue to receive the full benefit of the lease; why should the rent be reduced? Is there some service they could provide that would take the place of something you are contracting for? For example, say you are paying a gardener $300 per month to mow the lawn and trim the shrubs. If the renters commit to performing this service, they could earn some "sweat equity" and reduce their rent accordingly. BUT (there's always a but), you have to be able to verify that the renters are indeed performing this service, and doing an adequate job of it.

                          My inclination is to listen compassionately, but not drop the rent unless there is a verifiable and compelling reason to do so. And I agree with everyone's advice to put any agreement in writing.

                          Comment


                            #14
                            Originally posted by MSN View Post
                            If you have a lease, it is a contract. They may ask to renegotiate the contract, but you are under no obligation to do so. However, if they are otherwise good tenants, you may want to consider having the discussion. Acknowledge that their financial circumstances have changed, and encourage them to explore the economic relief packages from the Small Business Administration. But be sure they understand that reducing the rent equals reducing your income, which you are depending on to live. And the costs to you of owning the property (taxes, maintenance, etc.) have not gone down. The renters continue to receive the full benefit of the lease; why should the rent be reduced? Is there some service they could provide that would take the place of something you are contracting for? For example, say you are paying a gardener $300 per month to mow the lawn and trim the shrubs. If the renters commit to performing this service, they could earn some "sweat equity" and reduce their rent accordingly. BUT (there's always a but), you have to be able to verify that the renters are indeed performing this service, and doing an adequate job of it.

                            My inclination is to listen compassionately, but not drop the rent unless there is a verifiable and compelling reason to do so. And I agree with everyone's advice to put any agreement in writing.
                            I thought about the gardener because I just paid him yesterday. Yeah I don't trust that they will truthful about doing that. I'm drafting a letter and used one of your lines. If I may I'm going to send it to you. I want to end this today, so I can tackle my next problem. lol
                            🌺 Lorie

                            Comment


                            • K. McEuen
                              K. McEuen commented
                              Editing a comment
                              Jeez, when we rented we always did the yard work ourselves. I didn't know that landlords paid for it to be done.

                            #15
                            I know Karen we always did too. It's expected to have one now. I did have some people apply that liked gardening, but my realtor thought these guys sounded more reliable because of their jobs. If there wasn't a pandemic of course.
                            🌺 Lorie

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