Are you having trouble making your mortgage? Are you short several hundred dollars every month trying to pay your house payment? How about renting out a room in your house to help pay your mortgage? Here are some tips to help you decide if renting out a room in your house is for you.
1. Imagine how it would be to rent out a room in your house. You will loose some privacy. You will have to share your home, like your kitchen and your bathroom and you would have to be willing to let someone use your kitchen ware and furniture. If you feel that you would be willing to do this, then read on.
2. Learn about renting by contacting a HUD housing counseling agency to get advice about state landlord/tenant laws, or purchase a book. You can also get help with a rental contract from them and find out where you can purchase rental agreement forms.
3. Look around your house and decide what room your renter would use. If you have an extra bedroom and an extra bathroom, then your halfway there. If not, think about another area that would work, even if that means giving them your bedroom and you turning the family room or dining area into a bedroom. Also, don't forget your garage. You would have to park your car on the street, but if your city ordinance will allow you to do it, this can be another option.
4. Consider that you will need to offer the use of your kitchen and appliances. Consider if you will be offering use of your laundry facilities or would rather they use a laundromat. Decide if you will purchasing all of the groceries and then having them pitch in or if you will be allocating separate space in your refrigerator and having them cook and purchase their own food. Decide if you will allow a pet or if they will be able to use the phone, or even have an extension in their room. Will they be sharing the cost of the cable, water and electricity or will you be paying for all of that.
5. Provide a comfortable room. It can be unfurnished, partial furnished or completely furnished. You can supply a bed or a television or a phone. Whatever how you decide to do it, make sure it is clean and homey as possible so that the tenant will find the room a sanctuary and will feel comfortable staying there.
6. Make up a rental agreement outlining rules of the house. If there is no cooking in the kitchen after 10:00 p.m., put it in the rules, no overnight guests, put it in the rules. Have the potential tenant read the rules before they decide to rent. Make sure you put everything in the rental agreement, because if you think of something later, it is pretty hard to change the rental agreement without making the tenant upset.
7. Rent is usually collected in advance on the first day of the month for which the rent applies. A dated receipt should be given to your tenant each time the rent is paid. This will help keep accurate records. I would suggest that you have a month to month rental contract other than a lease. It is easier for the tenant as far as giving a 30-day notice and leaving but it is also easier for you to give a 30-day notice, if the tenant turns out to be disagreeable.
8. Place an ad on craigslist.com and also search for ads on craigslist.com and roomster.com. Check other advertisements for rooms in private homes to get an idea of average prices. When you advertise make it clear that you are renting out a room in your private home and this is not a roommate situation. Outline some of the rules so that you will only get calls from renters that are willing to follow your rules.
9. Do a credit check on your potential tenant. You can become a member of a tenant/landlord association and they can tell you where you can call to get a credit check done. Under no circumstances rent to someone out of theirs or yours desperation. Listen to your instincts.
10. Be considerate of your new tenant and realize that they will rub you the wrong way from time to time. Keep the line of communications open so that problems don't turn into emotional issues that will make you dislike your tenant and want to kick them out. For example, if they forget to lock the front door or don't pick up their dirty towels. Being thorough with your rental agreement, even if it means adding an addendum outlining your rules, will keep everything running smoothly. - 18193
1. Imagine how it would be to rent out a room in your house. You will loose some privacy. You will have to share your home, like your kitchen and your bathroom and you would have to be willing to let someone use your kitchen ware and furniture. If you feel that you would be willing to do this, then read on.
2. Learn about renting by contacting a HUD housing counseling agency to get advice about state landlord/tenant laws, or purchase a book. You can also get help with a rental contract from them and find out where you can purchase rental agreement forms.
3. Look around your house and decide what room your renter would use. If you have an extra bedroom and an extra bathroom, then your halfway there. If not, think about another area that would work, even if that means giving them your bedroom and you turning the family room or dining area into a bedroom. Also, don't forget your garage. You would have to park your car on the street, but if your city ordinance will allow you to do it, this can be another option.
4. Consider that you will need to offer the use of your kitchen and appliances. Consider if you will be offering use of your laundry facilities or would rather they use a laundromat. Decide if you will purchasing all of the groceries and then having them pitch in or if you will be allocating separate space in your refrigerator and having them cook and purchase their own food. Decide if you will allow a pet or if they will be able to use the phone, or even have an extension in their room. Will they be sharing the cost of the cable, water and electricity or will you be paying for all of that.
5. Provide a comfortable room. It can be unfurnished, partial furnished or completely furnished. You can supply a bed or a television or a phone. Whatever how you decide to do it, make sure it is clean and homey as possible so that the tenant will find the room a sanctuary and will feel comfortable staying there.
6. Make up a rental agreement outlining rules of the house. If there is no cooking in the kitchen after 10:00 p.m., put it in the rules, no overnight guests, put it in the rules. Have the potential tenant read the rules before they decide to rent. Make sure you put everything in the rental agreement, because if you think of something later, it is pretty hard to change the rental agreement without making the tenant upset.
7. Rent is usually collected in advance on the first day of the month for which the rent applies. A dated receipt should be given to your tenant each time the rent is paid. This will help keep accurate records. I would suggest that you have a month to month rental contract other than a lease. It is easier for the tenant as far as giving a 30-day notice and leaving but it is also easier for you to give a 30-day notice, if the tenant turns out to be disagreeable.
8. Place an ad on craigslist.com and also search for ads on craigslist.com and roomster.com. Check other advertisements for rooms in private homes to get an idea of average prices. When you advertise make it clear that you are renting out a room in your private home and this is not a roommate situation. Outline some of the rules so that you will only get calls from renters that are willing to follow your rules.
9. Do a credit check on your potential tenant. You can become a member of a tenant/landlord association and they can tell you where you can call to get a credit check done. Under no circumstances rent to someone out of theirs or yours desperation. Listen to your instincts.
10. Be considerate of your new tenant and realize that they will rub you the wrong way from time to time. Keep the line of communications open so that problems don't turn into emotional issues that will make you dislike your tenant and want to kick them out. For example, if they forget to lock the front door or don't pick up their dirty towels. Being thorough with your rental agreement, even if it means adding an addendum outlining your rules, will keep everything running smoothly. - 18193
No comments:
Post a Comment