A lot of people live paycheck to paycheck because rent is high and many of them don’t have a high income to begin with. They are just above the amount to disqualify them from Snap benefits and free healthcare, but don’t make enough to be above water…. and/or are on a huge California wait-list for federal assisted housing.
These people also tend to end up paying higher rent because they are perceived as being higher risk tenants, some landlords choose prefer financally more solid candidates and the ones that do pick them don’t need to negotiate rent with them because they have limited options (as opposed to an enginerd that makes $120k/year leasing a $1600/month condo can ask for a slight discount because of his/her superior financial situation knowing a lot more landlords would prefer them). Many of the big box corporate apts require a minimum of $100k/year verifable income to qualify for a 1/1. so they can’t even qualify for a lot of rentals. These aren’t simply just restaurant workers. I’ve seen people who are administrative assistant that would barely qualify for a lease and would be left with close to nothing at the end of each month. All else being equal, many landlords end up picking financially stronger candidates, inclusive …
Some of the landlords that took on these riskier tenants asked for a pie in the sky rent and probably got it, forgetting that if the shit hits the fan, these people won’t be able to make it and not be able to pay rent. Well, now it’s coming back to bite some of them in the ass..Because that once upon of time “risk for reward” that they didn’t have to think about when times are good , is bound to blow up when times are bad.
