My wife thinks we should buy a house and rent it to her sister. We've talked about buying rental property in the past, but this just seems like a bad idea.
What do you think Jow Forums, is this as fucking stupid as I think it is?
Pic related, probably the type of house we'd be buying if we did it.
The sister will be living rent free within 3 months. Don't do it.
Don't do it. You'll always have problems.
Wouldn't buy a property until there was a healthy correction if it were me, OP.
Never rent to family.
>my wife thinks
Never gonna make it. Stop that and quickly.
Too risky. Familiy combined with cashflow issues are not funny.
if she's like a doctor or something or the majority of the rents coming from section 8 and you know she's responsible and wouldn't want to fuck it up maybe, but in all other cases absolutely not. Both of those are unlikely, so this is a hard no, good luck telling your wife that though.
Never ever ever rent directly to your friends and family
Terrible fucking idea
>is this as fucking stupid as I think it is?
Absolutely. How the fuck do you evict your sister in law? Your wife would make excuses if she stopped payments. Do you really want both a divorce and an unevictable tenant?
Hopefully OP is not LARP but lets just say this "Dont shit where you eat".
Never ever mix money and family relatives (im not talking partner and kids). Fucking never. Someone always gets burned. If you want to sleep at night then your money is your personal family and your family relatives have theirs.
especially if she has kids
>renting to your friends or family
lmao did you never had a friend that asked you for a loan? shit never ends well
>taking financial suggestions from your wife
did she cut your balls off to make you that way or were you always this pathetic?
Don't ever rent things to family members. Also don't ever hire family members. You will lose money.
Don't do it.
Unless you're getting head off your wife AND anal off her sister in the same session. Then absolutely do it.
This is the only reply that matters in this thread.
1) Do you trust you sister in law to make payments on time for a full lease? If yes, do it. 2) if you dont know her well, do you trust your wife to reliably vouch for people's character even with a conflict of interest, AND does she trust her sister to make payments on time for a full lease? If yes do it. 3) if you cant answer anything but a definitive yes for either scenario, dont do it.
Dutchfag here. How much does a house such as pic related cost in the US? I love how comfy American houses look. Here in the cuckerlands we basically live in concrete cubicles... hell on earth.
>copypasta housing
this is loss
Like 65k-100k depending on where you live, probably even cheaper if you live in the middle of nowhere.
>house such as pic related
You generally don't see houses that look like that here, but if you did, it'd likely be in the projects of a small/major city, and they would be cheap but in dangerous areas (the projects) + not worth the money.
OPs pic prolly costs around $50k in a decent midwest suburb
Don't ever rent to family. It will end up in your family being torn apart and you'll be known as the eternal jew trying to take your senpai's last penny.
t. rented to senpai
wow, that's not too bad. Thanks for the info. Now to find myself a nice american lady on some internet dating website. I'm not joking. I've grown to hate Europe and i can't wait to escape this hellhole.
my dad just bought a house in Los Angeles for $600k to rent out as an "investment". He got a (((mortgage))) on it. How fucked is he?
House as in a single family home? As in only one set of tenants will live in it?
yes, in a decent area
>checked
>and this
Don't ever listen to a woman's financial advice unless it's for the keks. Involving family in an investment is always a bad idea to begin with.
Ask yourself this OP, why is your wife pushing you to let her sister rent out said rental property? Something tells me she's leaving out some important information. Additionally do you honestly think your sister-in-law is going to end up paying the market rate on that rental property or is she going to get the family discount? What happens if she doesn't pay rent? Do you think your wife is going to let your evict her? No fucking chance. I'd bet anything that you're sister-in-law is strapped for cash and your wife is trying to manipulate you into buying a place to help her out. Unless you're a complete and utter brainlet, renting to your sister-in-law is out of the question.
never involve family in business, don't loan them money or trust them with your property.
tell your wife to let you handle the real estate investing, and never rent to her sister or any other family member. In my experience people close to you get butthurt easily if they feel like you're trying to "take advantage of them" even if that's not your intention, for example raising the rent to keep up with inflation, tenants get mad about this year after year, your sister-in-law will whine when you drop a small % increase on her by the 3rd year and then you'll have to deal with that shit because she might manipulate your wife as leverage against you (cause your homelife to become more difficult)
just dont
Could work out assuming the market doesn't crash
But that'll surely never happen haha
This. Family is the absolute worst for exploiting the shit out of you. You should slap your wife silly for even suggesting it.
>what part of the Netherlands are you from user? I spent a week in Amsterdam and liked the city, but would never want to be around all the filth, drunk tourists and Muslims. Please tell me there are other areas that have yet to be cucked by Arabs. The time I did go out of the city, I really liked it and found it very peaceful and quiet.
thats what i told him. ah well cant reason with boomers
Where can I find a small comfy house like this? All the houses I ever see for sale are either $1 million mcmansions with 15x more square footage than any human could possibly use or some derelict piece of shit that needs at least $100k of work to fix it up.
>Buys at top of market
>rents to family
This is the worst idea I've seen on this board. If you want to support your sister-in-law and ruin your marriage go on ahead. Never rent to family. Never buy the top.
This is my fear as well. Especially since the sister has a history of being bad with money. Although to give her credit she's never asked us for anything even when money was tight for her.
>Do you trust you sister in law to make payments on time for a full lease?
Mostly. She's got a history of being bad with money, but never bad enough she was homeless or couldn't pay essential bills. Just typical overspending on shit she doesn't need and whining about it.
Anywhere from $30k - $120k depending on condition and location.
Decent places like this around us (Michigan) are going for $50-$60k with fixer uppers running around $30k.
>Ask yourself this OP, why is your wife pushing you to let her sister rent out said rental property?
To be fair to my wife she hasn't been pushy about it at all. I've been suggesting buying rental property for awhile and she's been against it since she thinks we'll end up spending too much time and money dealing with tenants and maintenance issues (which I admit is a valid concern). She basically threw it out there as a compromise, since in her mind it would give us a known "good" tenant and we would theoretically have fewer concerns and less work to do.
My fears are exactly what has been brought up multiple times here though. What happens if she's not able to pay rent? Then we either let her live there for free or we ruin her and my wife's relationship forever by evicting her.
This is my other big concern beyond SIL not paying rent and not being able to evict her.
She's not very money-smart, so I can 100% see her finding out what we're paying for the mortgage and then getting pissed that we're charging her double that, not considering that we also have to pay for taxes, insurance, and maintenance.
Metro Detroit. They're fucking everywhere around here.
I don't want to live around niggers though.
There aren't as many niggers in the suburbs. Most are confined to city limits, although you'll still find some, especially in neighborhoods with houses like the one I posted.
If you need to work and thus need to be near a city where most of the jobs are, houses will actually cost a lot more than $100,000. I would say you're looking at maybe $180,000 - $250,000 for one of the more affordable city suburbs. The problem with less expensive houses in those cities is that you'll be living among blacks and Hispanics who are much more prone to committing blue collar crimes than other ethnicities by a long shot.
It goes without saying that expensive parts of the country are going to be much, much more expensive. A house in Southern California will cost $600,000 or more and it won't even be a great location. A place in a good or great location in Northern California will cost you at least $1.2 million.
Never mix family with business, this is a golden rule of anyone with any fucking money or success.
Keep your family and business completely separated.
We call that type of building Town-Houses and in a decent area (not California) you can get one for 200k USD.
Now as an american who dreams of living in europe when i "make it" why do you want to leave, and is there anything I should know about?
lets see
>Dutch people are arrogant backstabbers, all of them. No exception
>Europeans LOVE big government and servitude.
>Everything is taxed. Literally everything
>Dutch nature sucks... everything as flat as a pancake
>Everything is forbidden by default. The government "allows".
>Housing prices are retarded
>arabs have taken over large portions of the country
>degeneracy everywhere
>No camping in nature, no building a tiny house because of regulations, not having the right to defend myself with a weapon
The list is endless user. I long for liberty. The US constitution is the greatest thing mankind has ever invented. Believe it.
Do not do it. If she is not following the housing market she is probably just fomoing the top of this housing bubble. This is a terrible idea. Wait a few years. Also who the fuck listens to a womans financial advice (cept if she has a degree[maybe]).
I did this but my brother was the renter
Has been great. He is good with money though.
Don't fucking do it user.
My idiot wife rented out a house we owned to her stepbrother despite me telling her that it was a bad idea. Within two months the rent checks stopped coming and the excuses began. Then we found out he was subletting out the spare rooms in the house to his junkie friends without our permission and in violation of the lease. Not long after that, he started trashing the place and going on meth binges. It didn't end until the dumb bastard finally killed himself 6 months later (thank christ).
Don't fucking do it. Biggest mistake ever, bro.
>we either let her live there for free or we ruin her and my wife's relationship forever by evicting her.
Good to see you're realistic about the potential issues that come with renting to family. Just tell her you don't want to be put in that situation where things could potentially get ugly and not budge on the issue. Additionally, it's not as difficult to do background checks on people as you may think. So it shouldn't be too hard to find a gainfully employed person to rent it out, with no record and isn't going to destroy the property.
>This is my fear as well. Especially since the sister has a history of being bad with money.
If the sister can't help herself in life, neither should you.
Golden rule: Help on those that help themselves.