What To Know Before Renting A Room In Your Home

A way to add some extra income each month to your life might be to rent out a room in your home. If you have extra space, then why not? So many people buy homes way too large for what they actually need, and have too many extra rooms. Some people even have rooms that just sit completely empty.

Here are some things to think about if you plan on renting out a room in your home to someone:

Can you trust the person who is renting from you?

Do you know who is renting from you? You should have some kind of idea of who you want to rent to. And, if you have a family, then you should definitely be more picky, as these people will be around your family a lot. If you have family, then you may only want to rent to those who you are very close to, just to be on the very safe side.

You want to make sure that this person will pay, will not destroy the house, is reliable, and so on.

What To Know Before Renting A Room In Your Home

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Is there value in it for you?

How much will you charge your renter? Charging something extremely small such as $25 is most likely not worth it to you. Place a realistic value on the room and your house.

Also, determine how bills and utilities will be split. Will they pay their share or will the rent amount include everything?

Make sure you have a contract.

As with most things that involve money exchanging between you and someone else, make sure that there is some sort of contract. You want to be covered in case anything goes wrong. It doesn’t matter if it’s a friend or a complete stranger, you should have a signed contract.

Have rules.

Make sure that you have rules when you are renting out a room. It will save you and your future roommate a lot of trouble.

Some examples of possible rules include: cleaning duties, who will pay for things such as toilet paper, trash bags, etc., and when they will be paid for, if any guests are allowed over, any noise issues, and so on.

Make sure that your city even allows for you to rent to someone.

Even if you think that no one may notice, you should still make sure that you are even legally allowed to rent to someone. In some places, you are not able to. You never know if a neighbor will report you, and then you will most likely be in a lot of trouble.

You are also being unfair to the person you are renting to as when it is all found out, they might have to find a place at the very last second.

Have you ever rented out a room in your home? Why or why not?

 

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