Thinking about mid-term rental

[Simone Montague-Jackson]

Hey everyone, 

I own a SFH in Buda, TX (close to I35 near South Austin) in a vibrant and safe neighborhood. Usually, I rent my rooms for long-term rentals with a minimum 6-month lease. However, I've been having difficulty renting one of the rooms because I've noticed some of the potential renters are either super particular, end up wanting to live on their own or with one other person (I have one room currently rented), flake, or come up with an excuses for not meeting with me.

I've decided to explore mid-term renting through Airbnb, but I'm unsure of the best methods to get started. Initially, I didn't select this route because I'm not located in the central part of Austin, but I would like to give this a try since the room is fully furnished, but will require some bedding, artwork, and a desk.  However, keep in mind, the renter will need to share a bathroom with the current tenant, and I've spoken with her about this, and she's fine with this arrangement. 

First, I need to learn how to protect myself and my current tenant against some of the issues I've seen online where renters will stay past the date they're supposed to leave. Second, I'd like to know any specific marketing tactics and methods to screen potential renters. Third, I'd like to know what data I need to collect in order to write this off on taxes. Four, I'd like to know any additional information that will be helpful. 

Thanx BP community in advance for any advice you'll give. I've gotten such great help from this community, and I've learned so much so far. 

[Lindsey Mannix]

Hi Simone,

That's great that your current resident is willing to share the bathroom...sounds like you have a good one! I'll address your questions from my perspective in order:

First - You sign a lease agreement in addition to the airbnb booking. I do this with all residents who book beyond a 28 day rental through the platform and have it mentioned in my listing and rules before booking.

Second - As for marketing, if you're using airbnb, that's your marketing. I personally also post my MTRs on Zillow and specify the length of time available and that it's furnished. You could also share it with local corporate recruiters, hospitals, military housing sites, etc. For screening, I use either Zillow's application process or if not coming through Zillow, apartments.com to run the credit and background checks. This is a free service for you as the landlord. Separately, I use apartments.com to collect rent, security deposits, bills, etc - also free for you as the landlord and the tenant.

Third - to write off items for taxes, I'd check with your CPA but in general, it would be anything you spend money on with that property, including mileage going there.

Best of luck!

Lindsey

[Zachary Deal]

As Lindsey mentioned a lease is important and sometimes even a small security deposit. I would recommend casting a wider net and listing on Furnished Finder, Airbnb/VRBO, and Zillow. 

Good luck! Hope it goes well

[Justin Brickman]

Make sure you use professional photos and get good reviews on each platform. MTR is definitely the move!

[Simone Montague-Jackson]

Thanx everyone. I have a photographer lined up already to take professional photos of my place. I'm going to get some stuff from Goodwill and Walmart this week to dress up the room and put artwork on the wall. 

I've tried advertising on Zillow and didn't get much attention with the current rental, so I may just use airbnb and furnished finder for now VRBO won't work since I'll need to rent out the entire place, and I'm only renting a room. 

I currently use Innago, which helps me use and distribute applications, lease agreements and roommate policies, collect rent, security deposits, and has an accounting system. So, I'll probably continue to use that platform. 

MY OTHER COUPLE OF QUESTIONS:

1. Do you all have tenants that rent pas 28 days only fill out a lease agreement or do you also have them complete an application?

2. Do you require a security deposit?

3. How do I prevent someone from staying past their stay without pay? Is it through the lease agreement? Will I need to call the police?

4. Does Airbnb and other platforms have a good screening process?