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Comment by McScroogy | Hacker News Reader

The renter does not lose a lot of money. The landlord may end up with enormous debt.

That's very difficult and unlikely to happen under US law. They probably have a corporate entity that will just cease to exist along with any debt. If they don't, bankruptcy or old debt will only impact their credit for afew years.

No different and probably more easily explained then an eviction. Try renting anywhere with an eviction. The risk is largely the same.

> If they don't, bankruptcy or old debt will only impact their credit for a few years.

The idea that you think someone could lose large amounts of money and not have it impact them personally or that there isn't personal fallout perplexes me. This feels like that episode of Seinfeld..

Kramer: It's a write off for them.

Jerry: How is it a write off?

Kramer: They just write it off.

Jerry: Write it off of what?

Kramer: They just write it off!

Jerry: You don't even know what a write off is, do you?

Kramer: No. Do you?

Jerry: No I don't

Are we talking business, or personal? Yes, it hurts; but the ability to mitigate that risk is there for any responsible landlord. The landlord has all the consideration about what type of property to invest in, how to structure their payments, how to increase rent or continue renting at old prices, etc.. The tenant has no ability once they move into a place.

All my experience is in the midwest, where there are essentially no renter protections.

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