Renting a room to college students

[glen]

Why a student.

[gbk]

I believe rules are the same.
One difference is -i believe, that the term is fixed.
So-You may rough out the tough times.

Only way to know ,if this is worthwhile-to try it.
No pain-no gain.

One can get lucky-or have bad luck.

[greatwhite]

Fixed period of time, generally Sept - May

Why a student.

[Marker]

I have rented out my basement on and off for about 20 years, over that time I have had good tennants and bad ones. Expect additional costs over and above normal wear and tear ( ie damage repairs, replacing appliances etc), and factor it in to your budget as part of the cost of running a business.

Overall, the net income provided by renting out part of my home has allowed my to purchase a larger house and the increased equity has accrued to me. So, to put that into context using a simplified example, lets say I can afford a $500,000 home without any additional rent income, but with rent income the bank will increase my mortgage availability room to allow me to purchase a $1,000,000 home. As each year passes the housing market increases, lets just say 5% each for the purposes of this example. As such, a $500,000 will increase $25,000 in the first year whereas a $1,000,000 will increase $50,000. That increase in equity accrues to me until I sell it, thats the time when my efforts pay off and I can buy two houses and rent one out entirely (capital gains issues beyond the scope of this comment).

[greatwhite]

I think before renting out a room I would put a shower in down stairs, repaint the interior of the house.

The biggest issue might be convincing the wife. I think the jokes I made over the years may hamper this.
But it's possible our youngest will probably leave in 5 years or less.

[Sharon]

Will the renter be using your fridge and your bathroom? I found that to be a big problem. Where I live you must have an exit door from the basement outside in case of fire upstairs. You might want to look into that.

[73hunter]

Well make sure to video tape it when you try to convince the wife to let the 22 year old college girl rent a room lolol

could make the same amount as rent posting it on youtube

GW is a good man…if he ends up with a video of that I just know he will share it

[greatwhite]

There is a bathroom in my basement installing a shower would cost me less than 2000.00, a small fridge would not cost much.

Will the renter be using your fridge and your bathroom? I found that to be a big problem. Where I live you must have an exit door from the basement outside in case of fire upstairs. You might want to look into that.

[greatwhite]

Most definitely , Probably better to stick to the financial instead of making jokes thought. Pretty sure if I made Jokes about renting out to a cute female that would be the end of the idea right there.

GW is a good man…if he ends up with a video of that I just know he will share it

[greatwhite]

OK just looked at the price of showers and their minimum 1000.00, so I would probably take the upstairs shower and put it down stairs which means I will have to do two bathrooms. So the cost would be closer to 4500.00