All Forum Posts by: Jeff Beaman

@Sam Shueh I reached out to them and they stated it is the homeowners decision and they do not get involved in that, but obviously that it is my responsibility to coordinate as I will still be responsible.

I am working on renting out a 2 bedroom townhome. My monthly expenses outweigh current rent in the area by approximately $250. I am willing to pay the difference but am trying to minimize my monthly expenses as much as possible. I am interested in finding individuals to rent the rooms separately to help my margins (preferably 2 friends or people that know each other). Has anyone taken this on and if so, how were you able to find these tenants and how did you screen their income? (Require income to be 3 x the price of rent for the room?) Did you have each tenant get their own renters insurance?

I would love any and all input, suggestions, or stories!

@Joe P. Thank you for sharing your story, the decision of whether to abandon now or go down with the ship trying is proving to be a difficult decision. I appreciate you taking the time to provider your incredibly relevant insight.

Cheers!

@Elizabeth Butt Thank you for that! I will definitely check them out. From the people you know, how do they go about pricing their rooms? Air BnB suggested a nightly rate, did they follow that when pricing there space?

@Jake Mullins Great info here. I really appreciate that! This may not be the right choice for my current home but I will surely keep this option open for future investments as I go! Thank you again!

@Don Gouge Thank you for the heads up! Any suggestions on how you would go about making this room a value adding investment if the plumbing that is already there does not allow for a layout that has a bedroom by the egress? The other window is 6 ft wide and opens up to my front yard, it just isn’t technically an egress window. I look forward to hearing back from you!

@Doug Orchard Great thought. Someone above also mentioned that. I’m looking into it as an option. Have you don’t Air BnB yourself?

@Suly Bolanos Did you make these purchases in CO? If so, what areas have you found to be most affordable and sought after at the same time?

@Charles Kao Thank you for your input! You would recommend selling instead of trying to rent and pay down the principle and build equity? I would barely break even as it stands now but would most likely lose money. The city has approved several large upgrades within a 2 minute walking radius in the near future including a new recreation center, retail stores, condos, and much more in the next 5 years. I’m not saying I haven’t thought about selling, I just didn’t want to sell now if there’s a chance for all of this to help raise property value in the near future.

@Chris Lopez That is my next issue, I used a CHFA first time home buyer loan with downpayment assistance and did not put any money down myself (I used that money to rehab the interior). So I do currently have a silent second on my home through the downpayment assistance, which I regret but I’m learning as I go.

I do not plan to live in the home while I rent it. I know being able to cash flow may be difficult in a 2 bedroom townhome which is why I considered finishing the basement to be a “living room” with a bathroom and a closet that I may call a bedroom. The basement has an egress window but the layout of the basement does not allow me to have the room where the egress window is (that window will end up in the storage room once finished).