House hack - lease terms with friends
Good morning!
I recently moved in my first house hack in a 125 yr old house that I gutted and 5% finished before moving in. I moved in with my old roommates - a couple with a dog. They are using a small bedroom with a small closet relative to "normal" houses. Rental comps of the area are $1000 min, $1200 average, $1400 high for a 3 bed/ 1 bath.
I appreciate their willingness to live in a partial construction zone for a month? while I finish up the other half of the duplex and the 5% on our side. I'm trying to balance reasonable/ fair rent prices and give them a little bit of a friend discount.
I originally offered $600 (+$25 for dog) rent price for them to share a room and share a spare bedroom with me for storage. 50% split use of the house between myself and them (which the couple combined realistically probably uses more than 50% of the house) They counter offered this first month for $500 based on the current construction status of the house. Anyone have advice in this type of situation?
I maybe shot myself in the foot with explaining my rental price analysis and tried to have open conversations about this? I value them as friends and them willing to live with me while finishing up the place.
If anyone else has learnings from house hacking with friends - I'll appreciate any advice.
Thanks!