Summary: You can earn a rental income by converting the vacant space in your home into a rental space.
One of the latest trends in the rental market is rooms to rent. Many tenants prefer renting rooms and living with homeowners. Renting is a great way to save some money and tenants don’t want to miss the opportunity.
For example, take a single executive working in a top multinational company in your city. Since the executive is working in a big corporation, he must be making a good income and he can easily rent a big home. But a single person needs a small area like a room in your home. If you have a vacant space and the space is equipped with all basic facilities, the executive rent that space.
Your spare room will become the home of the executive. The executive can save a good amount every month by renting a small space in your home. Also, it will be beneficial for you. Renting the vacant space will give you extra incomefrom the rent every month. If the executive leaves your home, you can rent the room to another tenant.
Your next tenant could be a medical professional like a surgeon on an emergency visit to a hospital in your city or visiting your city for a conference. The surgeon will rent your room for a short time like a week or a fortnight. As soon as the surgeon leaves, you can get another tenant and this time you can rent your room to a student.
Students also look for rooms to rent because of the peace and privacy they deserve to continue their studies. During the pandemic, students studied online and they need privacy and high-speed broadband connectivity. Also, they prefer rooms because they get peace and privacy in rooms. Your tenant will leave once his studies are over or during vacations.
Business travelers also look for single rooms instead of suites in hotels. The rental of a room is much lower than that of a hotel. Also, business travelers need space for a small time like a few days or a week. If your home is close to a business district, you are most likely to get more queries from business travelers.
How much I can earn by renting out my room?
The rental of your spare room will depend on its size, facilities available, and location. For example, if your home is close to places of interest like attractions, airports, and business districts, you can charge a slightly higher price than the rooms available in distant areas. But there is little to worry about as no room remains vacant for a long time. Tenants are available for every room.
Are there any drawbacks to renting a room?
Yes, there is a possibility that the tenant may not pay the rent or that they may cause damage. However, you can mitigate this with insurance and by vetting the tenant beforehand with references etc. You can separate the space from the rest of the home to maintain your privacy and to allow privacy to the tenant. On the contrary, the rental income from the vacant space will help in your home maintenance.
But the biggest advantage of rooms to rent is that you have your vacant space occupied and taken care of. The tenant should keep the area clean and functional. When needed, you can also use the space. You will get tenants for short times like a week or a little longer.