New to House Hacking

6 Replies

Hi Everyone,

I am currently undercontract for a duplex in Austin, Texas. I plan to live in one unit and the other is already rented out.

I have a few questions as to what I should get done sooner than later.


1)) Do I need a new bank account to collect this rent?

2) Lease ends 3/31/20 what contracts do I need to keep them in there with a rent increase?

3) what other things would I need immediately that I wouldn't in a single family?

4). In case they want to leave, how would I go about getting a credit check or screen a potential tenant?

Thanks in advance

1)) Do I need a new bank account to collect this rent?

No

2) Lease ends 3/31/20 what contracts do I need to keep them in there with a rent increase?

Just a new lease that they sign.  People don't want to move usually but you still want to be careful with any rent increase.  Be sure that it's justified and that you can get your tenants to agree to it.

3) what other things would I need immediately that I wouldn't in a single family?

Not sure what you're asking here.  Be more specific

4). In case they want to leave, how would I go about getting a credit check or screen a potential tenant?

You can get credit reports when people authorize you to do so and I wouldn't rent to anyone refusing a credit check.  Some companies will help with background checks and credit reports you just need to find your preferred vendor.

@Jonathan Castillo 1. yes don't commingle funds treat like a business. it can still be in your name but run all business expenses and income through the account. 2.BP has state specific leases that you can get for free BP perk. Send notice of increase at least 30 days prior to lease end. May be more in certain areas. Study land lord tenant law. 3. Need landlord insurance policy vs homeowners. 4. Read the ultimate tenant screening guide under tools:landlord resources. Several places to get credit and background checks. I have used rent prep in the past but thinking about switching to cozy.co. This is just the beginning, Use some keywords to notify you of renters discussion and study. 

@Jonathan Castillo

1)) Do I need a new bank account to collect this rent? (That probably would be smart. You dont want these funds co-mingling with your personal funds. Should also set up an account for security deposits as well)

2) Lease ends 3/31/20 what contracts do I need to keep them in there with a rent increase? (You need to send them a 60 day notification prior to the lease ending and notify them that you will be increasing the rent x amount of dollars. If they agree draw up the new lease with new lease terms and rent)

3) what other things would I need immediately that I wouldn't in a single family? (What you need in sfr is what you will need in mfr. You may want to have your residents carry renters insurance)

4). In case they want to leave, how would I go about getting a credit check or screen a potential tenant? (There are many online companies that can help you with this. 3rd party companies will assist with this as well)