Renting Rooms
Here in las vegas, from what I can tell, renting out rooms is very popular. I was wondering if anyone out their buys properties with the intent of renting out the rooms rather than renting out the house as a whole.
Any input is very much appreciated.
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It may be popular but you could well have more problems than it's worth.
Most places have ordinances concerning the number of unrelated parties may reside in a residence.
You'l likely be out of zoning for a boarding house in a residential area.
You pick who someone has to live with? How do you think that will work out?
Who is the resposible party, who goes on a lease, who pays for the damage in the kitchen?
How do you enforce a contract with a tenant if you are renting illegally?
Just a few thoughts, I'd suggest you not.
Bill's correct. You need to be aware of what the zoning will allow. It might work in 2-4plexes, but you should check out the regulations to make sure.
I see ads all the time for rooms available. However, I'd guess that the owners are not complying with the law.
Anthony Larson I like the cash flow potential of your idea. I'm very worried about how to manage it. Unless you had an in-house manager and a cleaning service, I don't know how you would manage it.
This is pretty efficient and common in the UK and Europe but not so much in the states at all. The cultural mentality is too different (American dream, own house land picket fence etc).
Nonetheless, I think it will become a very small but growing trend as the economy sour since it is an awesome way to save money for the tenant.
It would depend somewhat on the house layout. You would also have to have a solid yet simple set of house rules and tenant selection would be imparative. I think it would be management intensive relative to a typical rental.
I once had a summer internship oppurtunity in Houston and found some condos on Craigslist that rented for short term to be shared with another similar tenant. That is, all the room-mates would be college students for medical, engineering or some other professional major. There were some study abroad folks as well.
I can't say how it worked out because I ended up taking an internship in New Orleans instead, but we had a chance to meet our potential room-mates and I think it would have been okay.
As far as long term room rates, it could be a challenge finding good tenants who plan to rent a room much longer than a few months at a time.
I used to have a roommate and saved a boat load of money. It worked out to be a good deal for the both of us. I would rent your room out if you can.
I would not rent individual rooms out. It seems like it would be too much of a headache due to a higher turnover rate and a harder time holding tenants accountable.
I currently rent out 4 rooms and it has been great for me! I have a prop. that is a 3bdrm w/ converted basement (room). All rooms $125 per wk. I have done backround checks on tenants and all have been w/me for 8-14 mos. so far.Paid 35k for house. 7k in repairs.I was mentored by and individual in my area that has anywhere from 60- 70 rooms. this is what he has always done.
I have one property that is a 3 bedroom up and one bedroom down. Upstairs I have 3 roomates @ 600 a piece vs renting to a family where I can get 1450 at best.
Yes I get more money monthly but it def. IS more of a hassle when one roomate moves out, plus you have to make sure the roomies get along with each other. Can be a major pain
I would be careful when doing this. much more administative intensive. I would not do this on more than just this property as roomates are younger and tend to move moe often that families.
knock on wood as of now I have 3 great roomates who are very responsible and get along great.
regards,
chris
tons of responses. i been busy. first time on here in a minute.
anyone ever buy houses in las vegas. from what i seen its sfh, apartment complexes and a few high rise condos. cant buy apartments and dont know anything about condos. so 2-4 families arent feasible here.
edit 2-4s arent possible because i dont think their are any out here
@Terrell Hill it’s been ten years since this post. How’s it young renting out rooms? I’ll thinking about doing this. I have 10 single families rentals am am trying to go to another level.
Hey E.S. I have since gotten out of my room rentals and moved in to the commercial space and the Short term rental space. Given your local regulations you might just wanna furnish a couple of your houses and rent them out to Travel Nurses/Students/Professionals. Easy money when set up correctly. I wish you the best!