ok so i own a house in North Dakota right next to the oil boom and in a place with over booked housing due to the oil field workers. i want to rent it out. what are the procedures to renting a house out? what do i have to do?
You ask a short question that requires a long answer.
1. Decide if you are going to rent it furnished or unfurnished.
2. Determine if you can make money. Take what you would get for rent and subtract the mortage, insurance, and the property taxes, vacancy (at least one month) and estimate the expenses to maintain the place and fix it up. Believe me something is always breaking.
3. Get a lease agreement and determine how long you want to lease it for. This will depend on how long you want to lease the property.
3b. I would paint the inside and clean it up and much as possible. The nicer the place the more likely you can pick the best tenants.
4. Advertise the property. I use craigslist.org (it is free but you need to post your add everyday to keep it at the top. Another source would be the local paper may.
5. Have the preson fill out an application, and do a credit check if possible. Make sure you get a copy of their SS card and drivers license. A question that helps to ask if "When I check your credit what will I find. Most people are honest but I have had one lady lie to me and when I checked her credit nothing came up. That was because she gave me a false SS# and I did not verify it against the card. When renting always get a months rent deposit. If someone can not come up with a months deposit then they will not be able to come up with the rent.
6. Also call other people that have houses list for rent and tell them what you are doing. Some of them will give you advise.
Good Luck. It is a lot of work but can help pay the bills.
March 3rd, 2010 at 7:39 am
You ask a short question that requires a long answer.
1. Decide if you are going to rent it furnished or unfurnished.
2. Determine if you can make money. Take what you would get for rent and subtract the mortage, insurance, and the property taxes, vacancy (at least one month) and estimate the expenses to maintain the place and fix it up. Believe me something is always breaking.
3. Get a lease agreement and determine how long you want to lease it for. This will depend on how long you want to lease the property.
3b. I would paint the inside and clean it up and much as possible. The nicer the place the more likely you can pick the best tenants.
4. Advertise the property. I use craigslist.org (it is free but you need to post your add everyday to keep it at the top. Another source would be the local paper may.
5. Have the preson fill out an application, and do a credit check if possible. Make sure you get a copy of their SS card and drivers license. A question that helps to ask if "When I check your credit what will I find. Most people are honest but I have had one lady lie to me and when I checked her credit nothing came up. That was because she gave me a false SS# and I did not verify it against the card. When renting always get a months rent deposit. If someone can not come up with a months deposit then they will not be able to come up with the rent.
6. Also call other people that have houses list for rent and tell them what you are doing. Some of them will give you advise.
Good Luck. It is a lot of work but can help pay the bills.
References :
I do not have any sites for reference. I have been renting homes for 7 years.