Adult ‘occupant’ options.

[Christopher Dahl]

I just rented out a home to a family of 4. The unit has a sort of basement apartment, but it’s all one unit and can’t be rented as a second unit, but the whole house has legal occupancy limit of 8. Upon signing lease tenants mentioned to me that they might be interested in letting a family friend occupy the basement, and I said that would be fine (but lease says no subletting without approval). I said we could just screen him and add him to lease. It’s only been about two weeks and they want him to move in, but they are balking at adding him to lease as they said he may not want to stay for entire lease term (which is 15 months) I’m not so much worried from a rent collecting perspective of having him on lease (i.e. making this person liable for rent), but i am a bit concerned about any other liabilities that I may not be aware of, from having an additional ‘rogue’ occupant. I’ve researched possibility of an occupant addendum which seems like a decent option that I would consider upon completion of background check. Is this a reasonable consideration? Any special clauses I should include?

On the other hand, I’m wondering if they are balking at background check more than lease. What if he refuses background check, or background check does turn up something questionable? Or what if he simply has no form of legal documentation to really even complete a background check even if he wanted to? Can I legally deny him occupancy? Even if I can, should I? Not sure what to do.