Renting a 5 bedroom home in Charlotte, NC

[Michelle Bright]

Hey BP!

I am thinking about purchasing my childhood home! My parents are baby boomers and looking to downsize this year. They aren't ready to sell just yet but we have talked and I'm thinking it's going to be my next long term investment. It is currently a 4 bed/ 2.5 bath home on a large corner lot in Sardis Woods, a southeast neighborhood of Charlotte. It has a formal living room, dining room, breakfast nook, large kitchen, living room, laundry and half bath on the main level. The four beds and two full baths are on the second level. I am thinking about turning the formal living room on the main level into a bedroom and perhaps turning the half bath into a full by removing some of the square footage in the formal dining room. Rentometer states that we could get about $3700 for a 5 bedroom home. I am from Charlotte but have been living in Chicago for the past 5 years and SOOOO much has changed since I moved. What is realistic for a 5 bedroom home as far as rent rates go? Is a full month security deposit still standard in today's rental market? I know there are a lot of millennials (just like me) in Charlotte so the rental population is high but would a 5 bedroom be in demand? If I kept it as a 4 bedroom home Rentometer says $1850 is the current median rent rate. So see why I'd like to add another bedroom? Haha. Plus it wouldn't be difficult. I'd only need to add a door and closet. It already has windows. This would be my first single-family rental as a landlord. We currently only own multifamilies in the midwest. Thanks for your help in advance!!!