Newbie Considering Renting Out First House

[Brendan Ashton]

Hello everyone! I just stumbled on the BiggerPockets podcast and have loved what I've heard so far.

I need some help. We are considering renting out our first house and moving into another house we love in our same neighnorhood. Some numbers:

New house is listed for ~10% more than what our current house is worth. 

City is Riverton, UT

We estimate being able to rent upstairs and downstairs separately for a total that is $1000 more than our mortgage, before tax or utilities or anything.

We have enough saved for 6% down payment on the new house but could borrow more from family (we'd obviously pay them off first)

First off: is it even a good idea to rent out your first house? Is it legal? How do I go about figuring out zoning requirements and such? Would neighbors be able to put an end to the rental? We have great rappore with our immediate neighbors and would still be in the neighborhood, but don't want to risk being kicked out.

Second: What things should we take into consideration with this idea? Haha I'm such a newb. I'm scared by this proposition but the numbers (+1000 a month!) are making me feel like we should be brave.