Subletting Advice in ATX?

Question

I'm interested in subletting as a strategy in Austin and am curious if anyone has experience with subletting that would be willing to give me any insights! How to find an apartment that will allow subleasing, things I should know before getting into it, etc

Andrew Bang · Answer

You would need to talk to each property owner and see if they are OK with subleasing.  Its a pitch, have to show them the benefits of subleasing to you.   That said, if you look up subleasing in the Real Estate Dictionary is would say:  lots of busy work, little return.

Candace Buckstead · Answer

Hey Bryan! Thanks for your advice! I figured I would likely have to entice them with a bigger rent payment and whatnot.

Drew Sygit · Answer

@Candace Buckstead are you looking to do STR Arbitrage?

Eliott Elias · Answer

Check your lease and make sure it is okay. There should be a sublease section, most don't allow it

Bryan Noth · Answer

@Candace Buckstead

@Andrew Bang is spot on.  You have to approach each owner / lessor and request subletting be allowed in your lease agreement.  Often you have to give them solid terms (large deposit, higher monthly rent, long lease term, etc) to offset the potential risks.  Most of them have language added to say "All Guests of Candace, LLC" or thereabouts.  I have seen the best success in the Austin area targeting privately listed properties that have been sitting on the market a while.  If there is professional property management in place they likely would not take that on but never hurts to ask.

Candace Buckstead · Answer

either MTR or STR! I know in Austin you can't STR when you don't live there, so if in Austin it would be MTR, if outside of Austin where it's legal, likely STR

Candace Buckstead · Answer

Thanks Elliott!

Candace Buckstead · Answer

thanks Andrew! That surprises me that it doesn't give you a lot in return. I thought it was potentially a good way to get started when you're not entirely ready to buy a property. Isn't it not much more work than renting out a regular home? I also plan on doing MTRs, not LTRs

Subletting Advice in ATX?

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