The cost of being poor: Why it costs so much to be poor in America
As a landlord of single family homes, I have to look at the detailed credit history of potential tenants.  Before I even get to that stage I let them know the income requirements, etc. so usually we are looking at the top 3 applicants out of the 30 that applied.<p>With almost no exception, the renters make horrible financial decisions that set them up to work until they die.  The average credit report I see is about a 500 and it&#x27;s filled with missed payments, loans sent to collections, etc.  Then, right at the top, in the last two or three months will be new loans for expensive cars and jewelery.  It&#x27;s mindboggling and sad.  Most of my tenants have a nicer car than me (I own a pretty vanilla $30k sedan).<p>The renters usually come just above the 3x income to rent ratio and they never fail to pay their rent.  But I don&#x27;t really ever forsee them owning a home if they continue to make luxury purchases that prevent them from saving.  The loan industry really enables a life of debt.