When your expired listing just won’t sell, maybe consider using it as a rental unit. Renting out your space has several advantages, the main perk being a way to earn a little extra cash. Before you pull the trigger on renting out your Brooklyn/Manhattan abode, there’s a few things to consider.

Look Up Rental Housing Laws

First, it’s extremely important to know what you’re able to do and what, as a landlord, you’re obligated to do. Read up on the rules and regulations New York has in place for landlords and tenants. It also lays out what to expect from a tenant and gives guidance on how to navigate all the rental ins and outs.

Get to Know Your Tenant

You may know your tenant already, which is great! That ensures a comfortability level and helps to set some expectations. However, if you’ve found someone to live in your space that you don’t previously have any type of connection with, it’s important to get to know them prior to saying “Yes” to a landlord/tenant relationship. You can conduct this as an interview. They will be living in your space, after all, so it’s fair to make sure you align on standards of cleanliness and noise levels, among other things. Just like a job application, it’s also important to have the potential tenant fill out an application and for you to run a background check.

Sign a Contract

After you’ve gotten to know your tenant, a contract needs to be drawn up. It is a great way to set expectations so that there are no surprises. Lay out all different types of clauses (quiet hours, pet policy, etc.) and what the tenant should expect if one of the rules is broken. Make sure each party has a signed copy so you can refer back to it as necessary.

Have you rented out your home before? Tell us something you wish you had known ahead of time!

*ExpLiMO provides high quality leads on a daily basis and offers a unique opportunity for Manhattan and Brooklyn real estate agents to prospect for expired listing leads and grow their business exponentially.