Cash Not Always King

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In the real estate world, cash not always being king is an understatement. Why? well…in case of a dispute, if checks or money orders were used then you can simply follow the paper trail to help resolve the problem.

Now. You may be asking about the pic. Yes…that is me with a tenant from a unit in Vista Lago in Kendall Florida I rented to (I represented the landlord). The tenant is a woman that simply likes to deal in cash. For rentals, I do tend to make exceptions about not just taking checks or money orders but also cash. I do not advice it, but I do it sometimes if other factors fall in place such as:

tenant has good or better verifiable credit (600+ fico). tenant can verify employment and income commensurate of the monthly rental payment. tenant has no criminal background. tenant can provide verifiable previous landlord reference where I can verify that the previous landlord is the actual owner of the place.

And so on. Notice I often say “verifiable”. This is key as a lot of time, I get information from tenants that blow my mind.

One time, a tenant gave me a name and number of the previous landlord where he lived. So I called that landlord and asked for his complete name. So I pulled up title records and the name given did not match what was on title. Needless to say, the person on phone abruptly hung up.

Need to verify a name on a property’s title?

So…if you do decide to work with a tenant via cash, take a picture just like the one you see on this post. Actually you may wan to add a time-stamp on the pic (which I did not do). And right away, email that pic to all parties involved in the transaction with a note explaining the picture (example: 1st months rent April 1, 20013 by John Doe).

About the time stamp…there is software that detects wether the time stamp was photo-shopped or is legitimate. One less thing to worry about.

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