Are you living in an Avida condo, house, or apartment with a spare room and you would like to turn your unused space into a source of extra income? Here are some things you need to be aware of or do before you put your room up for rent.
Know the basic law on renting. If you own your house, you have no restrictions in renting it out. If you are renting the property, it is best to check with the owner first if you can rent out your spare room.
Also, ask your landlord or landlady on the maximum occupancy of the property you are renting. For example, if the maximum occupancy is three and you are one person living in the unit, you can rent out your spare room to up to two people.
Remember that the rules and agreements you have with your landlord or landlady also apply to your tenant. For example, if you cannot have pets in the property you are renting, your tenant cannot bring a pet either.
Research on common rental rates in your area. Find out the usual rental rate of properties where you live. You can do a little sleuthing; look around and inquire with properties for rent or ask someone to do it for you. Take the perspective of someone who is looking for a place to live. How big is the room? Is the location convenient and near services like the grocery or convenience store? After comparing prices, you will get a sense of the average rates.
Take into account additional amenities and services in your rental fee. For example, if you are already hiring someone to clean your house for you, including the spare room, then you might factor that in your rental fee.
Decide the minimum rental period for your tenant. Will you be renting out the property for a minimum of six months, or a minimum of one year? Bear in mind that the shorter the rental period, the higher the rental rate is usually.
You may want to prepare a contract to secure the rental period for both you and your tenant. Don’t forget to ask your tenant for at least one month advance and one month deposit!
Decide on your rules for your tenant. Again, if you are also renting the property, your tenant has to follow the same rules you follow, but you can also set your own. Here are some questions to consider:
- Will you allow your tenant to use your facilities like your refrigerator and cookware? Will you allow cooking at all?
- Will tenant have a spare key or will you be setting a curfew?
- Can your tenant bring visitors? If yes, how long can they stay? Are there activities you will not allow like drinking in groups?
- Can your tenant have pets?
The list ultimately depends on your personal preferences.
So there you have some of the things you need to consider to rent out your spare room. Good luck, and may you get a good tenant who pays on time and follows the rules!