With the rise of services like Airbnb, you may be considering renting out your home for extra income while you’re away for an extended period of time. Though this seems like an ideal solution for families with extra room to spare, it can create issues for those who don’t properly prepare.
To get the most out of renting your home, keep in mind the following:
- Review the terms of your insurance policy closely and talk with your insurance broker about renting out your home.
- Draw up a rental agreement that defines the terms of the rental, including restrictions, liabilities and occupancy guidelines.
- Request a security deposit. Explain that this deposit will be refunded if there is no damage to your home.
- Set aside a secure place in your home to store personal items, such as clothing and valuables.
- Take pictures of all areas of your home before the rental takes place in case damage occurs while you are away.
If you uncover any red flags while checking references, do not agree to rent your home. Your first priority should be to protect yourself and your property.