How much should I charge for renting one room in my condo. Should I request half of the mortgage?

Question

I think I found the right person to be my roommate, the problem is that I dont know how much to charge her for rent. I dont know how much people pay when renting just one room. I want to tell her to pay half of the mortgage which would be $500.00. Is this too much? Help please!

well i will be living there 2 and utilities are included

Answer 1

How much you pay for your mortgage has no bearing on what the room is worth to rent out. See how much other people are charging to rent rooms in your area (like on craigslist) and base your rent figure off market data, not your costs.

Answer 2

It should be within +/- 15% of what a shared home/apt situation goes for in your neighborhood. It doesn't matter to if you charge half or all the mortgage to them as rent. If there's a need for a renter to rent with you, they'll agree to pay whatever is fair.

What you should always include is a rental lease that covers at least what the length of the lease is, who to pay the rent to, when the rent is due, and any stipulations if a renter wants to break the lease, noise policy, common areas. You can probably find a decent example of a rental lease on the web by searching for "rental lease example".

Also, you might want your renter to fill out an application form so that you know they're able to pay the rent. The general rule of thumb is that the renter should have at least three months' rent in their checking or savings account. But, that also depends on you.

Look onto Craigslist.org and search for your city/regional area. That'll show you what's the shared apartments and single rooms are going for.

Answer 3

You should charge the normal market rate. To determine this rate, you could call other condo places that rent and pretend to be interested in renting a room. Ask them how much they charge for XX square feet of room.

Then, you can apply this same amount to your condo, assuming it's a comparable one.

Remember, there's nothing wrong with charging more than your mortgage payment - many people make a living doing just this - renting out real estate. Of course, you cannot go too high either, or no one will want to rent from you.

Answer 4

do not do it! I purely did it and regretted it - it value me extra effective than it replaced into properly worth! whether, in case you will possibly desire to, please define issues up front and assemble a deposit. I easily have a three mattress room classic flat and the room I rented replaced into provided so I did a third of hire (relatively my proportion of the indoors maximum loan) plus I figured in slightly extra for utilities....nevertheless, she took benefit that she replaced into not easily paying 0.5 the utilities or any element of it and cranked the AC as she thrilled and used the washer/Dryer on a regular basis...it replaced into horrific. It resulted in a war of words and a combat, and he or she left without paying all expenditures...i'm left with severe charges and a messy room to freshen up. Do a credit and background verify, value a deposit equivalent to a month, write up a roommate settlement, and so on. i don't think of gender is substantial if not substantial to you yet attempt to get somebody on your comparable time table (1st shift, in mattress early, and so on.) in any different case those issues will ultimately grow to be a controversy. ultimate desires!

Answer 5

If she has access to the entire house?and all appliances, amenities in it?
1/2 is acceptable

Answer 6

Charge market value. It doesn't matter what your mortgage is.

Answer 7

you should chage her a little over half
if it includes utilities

like no more than 750 though

Answer 8

Yes, if you pay for the utilites and taxes then half would be about right....

Answer 9

does it include utilities?

Answer 10

sounds like a bargain!
if she doesn't flinch, go for it.