I have a single family rental in an HOA subdivision that I'm looking to rent. I was contacted by a reputed company to have it be employee housing for seasonal employees for 3 years. They would pay rent for the full year but it would be occupied for 8-10 months. Sounds like a good opportunity for me but is there anything I should be concerned about? I'm nervous about equipment/parking/neighbors/hoa. We reference complying with hoa laws and they would be responsible for any fines. We will also give them a copy of the hoa laws. Anyone have experience with this or have recommendations?
Rental Property Investor · Boston, Massachusetts (MA) · Member since 2016 · 2k+ posts · 2k+ votes
2y
a legit company will have a contract for you to review, as well as a track record/references. You should produce your own lease but see whats in theirs.
Outline anything in your lease thats important. Companies have far fewer protections than individuals so put whatever in there you need in terms of deposits, security anything. What is their assumption of responsibility? Type of occupation and amount of tenant turnover might matter to HOA etc. How many people are we likely to be talking? Who takes care of the place in the 2-4 months its vacant?
Handyman · Monroe, WA · Member since 2021 · 26 posts · 25 votes
2y
If I could please have permission to play Devil's Advocate?
Seasonal employees aren't full time, year round, so they don't make as much money. They also aren't as invested in both the job or the home they're renting.
You don't mention what the industry is, but here in WA State we have ski area employees that blow into the Cascades in Oct/Nov and split sometime in April. Some of the side effects of seasonal employees are increased wear and tear on your home, parking issues (due to several not related driving age folks living in one home), clogs in drains and waste lines and actionable security deposits in the result of any damages.
I'm not trying to pop your balloon, but please make sure you have a clear line of responsibility from whom you'd collect damages.
Unless there is a significant financial advantage to you to basically let a 3rd party company house hack your home, consider a family with a long term, stable tenancy with modest rent increases and less wear and tear.
Thanks! I just read that the HOA states it needs to be single family residential use. From what I'm reading that sounds like no more than 3 unrelated adults? Maybe it depends on the local ordinance which I'm looking into but any insight you have on this would be greatly appreciated.
Also would you recommend I notify the HOA of this in advance?