If you’re considering turning one of your properties into a rental, there is a lot to consider before making it happen. Trusting strangers to inhabit your home is no small feat, so understand the legalities and risks that you are taking.
You probably have a lot of questions: Can you insure rental income? How does a lease agreement work? What laws do you need to follow? These are good questions that deserve well-researched answers. Check the federal and local laws in your area, but remember that there are landlord-tenant laws that forbid discrimination against race, gender, sexual orientation or religion.
Insurance is not required by law, but that does not make it any less of a necessity. As a landlord, it is within your rights to require renters insurance as part of the lease agreement. There are more benefits than peace of mind; as reported on https://www.rentrescue.com/, the cost of coverage can be tax-deductable.
The lease that you create is very, very important; it is a legal document that outlines your rules and requirements for the proposed tenant. Make sure that you clearly state your expectations and that the tenant understands their rental agreement.
Remember that with no risk comes no reward. If fear of the unknown is holding you back from renting out your property, let go and give it a trial run. You can always pull the plug later on if you don’t think it’s a good match.