I purchased a townhouse at the 2010 tax foreclosure auction, and I've written about the purchase and my initial visit here, and a few weeks later I wrote another blog entry about it here.
I've been wrestling with whether to rent the unit to the previous owner or not. I worked out an agreement that allowed them to stay through the holidays for no rent, and today was the day I needed to make a decision.
I've decided not to rent the townhouse to them. The primary reason is that I'm fundamentally uneasy extending credit to someone who's willing to walk away from their obligations. There really isn't any reason to go into more detail there, that's the basic conclusion I came to.
If I'd had this couple come and fill out an application, and the credit report came back with a foreclosure, that would pretty much be it when considering them for tenants -- there are plenty of good tenants that don't have that sort of black mark on their records.
Yea, it's not an easy path, but I'm betting that there's a good chance of future problems, and might as well deal with it now than put it off any longer.
16 hours ago