Hello,
I have come to a hard decision to ask for a rent increase on my elderly Father. He was and is the best Father I could have hoped for. Hardworking, loving, and always there for us kids. But, as life can deal some hard cards he was dealt many, and he fell upon very hard times through no fault of his own--life just blindsided him. He was in dire need of stable, safe housing, so I bough a house for him to live in with rent set at 50% below the going rental rate with the understanding I could use the home for myself and my wife and child if need be,and he could still live with us at a reduced rental rate. And I have been subsidizing his living costs for years now--and I know I am lucky to be able to help in that way although I am not rich by any measure. However, the time has come, as I am moving back to the U.S. for further study and work. However, he got married last year to a wonderful woman--we allll love her! He can no longer work as he was diagnosed with terminal brain cancer last year--but through a miracle he was treated and lived, and is CLEAR! Thank God.
His new wife has a stable retirement income (greater than his which is only S.S.), and I have hinted (before his cancer diagnosis) that his marriage has changed the financial dynamic and the possibility of us moving into the house for a year or two. He has been resistant to talk about rent adjustments, so I have left the issue dormant until now and have made arrangements to move in with a sibling who has space, in an excellent neighborhood, schools etc. And we are going to pay the going rental rate for rooms which is close to my monthly costs for the house where my Father and stepmother live.
So, I sent an email outline of current costs, comparable rentals, and a suggested a monthly rent which is 30-35% below comparable rentals in the area. I know if they split the rent it would be no more than 30% of their basic retirement income for each, I am taking a hit, but, as I claim all rental as a"gift" it's tax free, and the proposed rent would cover my "fixed costs". I have not heard back, and made clear I do not want money to sour our relationship. But, I do have a wife and a child too. My other issure is that I promised the rent would never rise, and I "got your back"...but his marriage has changed things--in a good way, but in a complicated way too.
Just wondering what you guys would do in a similar situation? Am I wrong to ask for a rent increase? I am interested to hear other thoughts. Thank you, and best wishes.