What tips & advice should I be aware of when renting out a room?

Question

What can I do to make it a smooth process and experience? How can I best protect myself when taking on a roommate? Anything on this topic from your experience would be greatly appreciated.

Answer 1

On the money end.......define when and how rent is to be received.....including a time of day......like 4pm on the 1st calendar day of the month......be hard up front....so two month's from now you find yourself hesitant to "confront her" w/ the late rent.....

google your state and landlord/tenant laws....the minute she is late, give her a 3 or 5 Day Notice to Quit or Pay Rent....that starts the legal clock....don't wait....otherwise you'll find her your roommate for way too long.....

Have them provide you their FICO score (they pay) and one of the free credit reports w/in two days after application....if their FICO score is below 625 - don't rent to them (stealing issues), and make renter's insurance a REQUIREMENT (that might weed out most of the losers) and proof before move in date.

Answer 2

Having been a property manager for the last 20 years, perhaps I could share a few things I'd look for in a room mate.
Firstly, processing an application and background check (including the credit report) should be required. ALWAYS CHECK REFERENCES. (Doesn't hurt to do a little internet/google searches on people as well).
Second, always check for employment. You want to see at least 6 months of job stability and income that can afford the rent payments. You can see how many bills they probably have on their credit report.
Thirdly, establish a written contract and house rules. You can obtain rental contracts in many places like Office Depot. You can make up house rules or go to a nearby apartment complex and ask for a copy of the rules that you can modify to your condo. Have this signed and kept.
Fourth, spend a considerable amount of time meeting with this person to find out if their living style is compatible to yours. Will they be working or be at home during the hours you would sleep? Are there children that will be coming to visit and if so, when? Will you allow guests and if so, how many and when?
The best thing to do is put everything on the table up front and put EVERYTHING in WRITING. That is the most important thing. If you have any problems, document them in writing as well in case you need to ask him to leave. Always collect a deposit for cleaning and damages as well. Clearly outline responsibilities, duties, expenses, etc.
Good luck!

Answer 3

To better insure myself with a financial stable person, make them pay the first month rent upfront, a security deposit in the amount of a month's rent, and if you're really concerned, make them also pay an additional "last month's rent".

I'm a renter myself and these are the financial obstacles I have encountered. While looking for houses to rent, I had one house ask for the same thing. Basically, 3 months rent upfront while it only counting for one month.

I am no in a house. I pay $1300 a month, but to move in, I had to pay an additional $1300 for a security deposit.

As far as temperament, maybe you should spend some pre-time with several individuals...

Also, you should have a list of pre-made lease rules that are very clear to whichever individual you want to move in. This will protect you legally.

Answer 4

Beware, renters have rights, once they are in it is hard to remove them. Make your lease with them month to month, think about what deal breakers are and write them into the lease, have a lawyer review it, that way the most you will have to deal with a renter you don't want is 30 days. Also you must follow the law you can not discriminate based on familial status, race, religion, sexuality, etc, etc, . So when you are choosing a roommate don't tell them you can't live with kids, or religious people or gay people because that is breaking the law, ultimately you can choose who you want but your methods of deciding should not be discussed with potential renters.

Answer 5

Check first if you are allowed to rent out a room.

You have to put everything in writing in an agreement format.
What/Who/When/How much?

Rules you want to stipulate has to be written and agreed upon.

Finally 2 mths payment in advance. 1 mth notice if he/she wants to move. Good-luck!

Answer 6

Get a written contract.

Answer 7

get EVERYTHING in writing!!!! If you can, get a credit history and a background check and previous references, etc.

if you can ask their parents "would you rent to your child?" why or why not?