Divorces are great for Landlords

Discussion in 'Property Management' started by Xenia IM, 2nd Feb, 2015.

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  1. Xenia IM

    Xenia IM Property Manager

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    Just reading through another post on divorces and it's sparked another thought.
    If no divorces occurred, it would reduce the tenant pool that is available to rent properties.

    Many of our tenants are "new singles" and starting over. That is, they have owned their own home and are now new to the rental market due to divorce. Many of these tenants, once they have established themselves again, actually find that renting is their preferred method and even if they later on purchase investment properties, they continue to rent a "nicer" home to live in.

    There is a trend that at around the 2-3 year mark after a divorce they double the number of children they have. She has 2 and now partners up with someone who also has 2, now together they have 4 children and move in together into a bigger 5-6 bedroom home. This is a safer relationship, there is no risk here because if one walks out they have nothing to take from the other one as they were just renting. Smart way to do relationships I think.

    It is also my observation that there are more divorces - more new single tenants and more sales due to divorce, in more prosperous economic times.
    This could be because people stay in bad relationships/marriages if they are unable to afford life on their own. People can walk out of bad situations easier if they are financially able to.

    I'm talking both men and women here not just one.

    So, when economic times are good, bad marriages end and the pool of quality tenants increases. All good.

    Please keep in mind that we manage properties mainly in the more prosperous suburbs with a rental range of $420 to $500 per week, so we attract a lot of higher income divorced tenants and many professional tenants. Male and Female.

    The above observations probably don't make sense for lower socioeconomic demographics.
     
  2. oc1

    oc1 Developer

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    So when are you getting divorced? You can buy and rent one out to your ex :rolleyes:
     
  3. Doovalacky

    Doovalacky Member

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    Not so great when one happens in a currently tenanted property sometimes.
    Start fighting over who's paying/not paying the rent.
    A couple alcohol fueled benders resulting in kicked in doors etc.
    One tenant went completely off the rails onto drugs.

    Agent selected tenants, decent properties, just the stress affects some people.
     
  4. Xenia IM

    Xenia IM Property Manager

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    not yet - I still find him useful ;)

    He can cook better than I can.
     
  5. geoffw

    geoffw Untitled

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    I once had a small block one bedroom units. I let them out furnished- it was good temporary accommodation (about six months generally) for newly divorced people trying to find their way- amongst other demographics.
     
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  6. WattleIdo

    WattleIdo Member

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    Interesting take on things Xenia. Makes sense to me. It seems there are a lot more investors renting these days too.
    Actually, this makes Adelaide look a helluva lot more cosmopolitan that I had imagined. So they don't stone divorcees after church?
    (No, I didn't say the divorcees get stoned after church.)
     
  7. geoffw

    geoffw Untitled

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    So the church gets stoned before the divorcees then?
     
  8. WattleIdo

    WattleIdo Member

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    Those churches have been stoned since settlement.
     
  9. Xenia IM

    Xenia IM Property Manager

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    If you have a hot button on others making money it is YOU that will be unable to make money.

    I am not the single, number one cause of every divorce in Australia because I provide rental properties.
    I may have caused a few in the past but not all of them ;)
     
  10. hobo

    hobo Member

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    Awesome promo work....

    "ALEXA Real Estate - supporting (and promoting, and even apparently causing) divorces since 2005" (estimate).
     
  11. willair

    willair xx

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    What goes around comes around,and as each has karma as their own good luck..
     
  12. datto

    datto Member

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    What on?. Holy Water?
     
  13. Xenia IM

    Xenia IM Property Manager

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    LOL
    any more to that oc1?
    any more predictions you would like to make?
     
    Last edited: 2nd Feb, 2015
  14. Mr. Fabulous

    Mr. Fabulous Thought Criminal

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  15. oc1

    oc1 Developer

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    Expect some sock puppetry......NOW.
     
  16. Mr. Fabulous

    Mr. Fabulous Thought Criminal

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    Bees are on the what now?

    Xenia might be a bit out there, but she hasn't set up fake accounts in the past to bolster her argument (as far as I'm aware).
     
  17. Hodge

    Hodge Member

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    I know a guy that has been divorced 4 times. I asked him why keep getting married? His reply was after the second divorce i have nothing to lose!
     
  18. oc1

    oc1 Developer

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    Old habit of Xenia's.
     
  19. D.T.

    D.T. Property Lookerafterer

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    oc1 likes this.
  20. hugh72

    hugh72 Member

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    Well this was a quality thread..
     
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