I am planning on buying a house to house hack while I am in college, would it be a good idea to have my friends as tenants?
I started out the same way, house hacking in college. A lot of my friends were, uh, not responsible, that's what I'll say, so the one time I did rent to a friend it went horribly wrong. And that's the rub -- either it goes really well and everyone's happy, or it goes really wrong. There is no middle way.
The standard advice is don't rent to friends and family. You can't "lose" family so that's a hard no, and don't rent to any friend you want to keep. Judge from there whether you think the risk is worth it.
Hope this helps!
It helps to have roommates that you get along well with. I've had my share of good and bad ones. I would say that renting to friends is not out of the question. Just screen them the same way you would any other potential tenant; income, credit, references, criminal, employment verification, no evictions, etc. Require them to sign a lease. Be professional. Set clear expectations that you're not going to give them any consolations just because you're friends. Get a fair security deposit and charge a market rent.
You can also get parents to cosign the lease.
try to treat it like a big business from the start. That way you develop all good practices that will help you in the end. If your friends qualify and meet tenant criteria, then maybe you consider. But definitely separate friendship from business.
Hope that helps!
@John Newman yes that was the plan, I'm going to be as professional as possible, no leniency because they are my friends. Is the parents cosigning really a viable strategy?