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Old 05-02-2010, 05:15 AM
 
31 posts, read 145,722 times
Reputation: 26

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I have a question for you landlords here. Hopefully you can advise me about how to proceed.

I have available, in my house, an empty in-law suite. The zoning for my house is for single family, residential.

I'd like to rent out this suite legally. From what I understand, I can only rent to a family member (I have none).

I'm interested in two different scenarios, and hope someone here has some advice for me.

First scenario - a roomate. I can't see how the town can prevent me from having a roomate - people do it all the time to help with the bills, no?

Second scenario - reduced rent in return for landscaping work, housekeeping, house repairs, etc... I've been told this is legal and that is how many homeowners rent to nannies, groundskeepers and such.

I plan on using this service to screen potential tenants:

https://www.mysmartmove.com/Landlords.aspx

Has anybody used this service? Or have an opinion?

I also plan on having them sign a lease. If I go with scenario number two, how would I incorporate that into the lease?

I live in New Jersey.

I really want to do this legally... any advice is greatly appreciated!
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Old 05-02-2010, 11:38 AM
 
Location: Kailua Kona, HI
3,199 posts, read 13,341,529 times
Reputation: 3420
If you do rent it out, do not choose the "work for rent" scenario. Decide on a rent amount for your roommate and stick to it. Interviewing people most of them will say "oh yeah I can do that" but never do or really can't in the first place. Keep the transaction businesslike and easily defined.
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Old 05-04-2010, 12:23 PM
 
Location: Atlanta, GA
504 posts, read 1,538,616 times
Reputation: 192
Yeah, you'll get scumbags that think mowing the grass once is equal to a whole months rent too (or some other similar situations).
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Old 05-04-2010, 12:40 PM
 
Location: southwest TN
8,568 posts, read 18,025,835 times
Reputation: 16701
If it is not accepted as a separate apartment and you rent it out, other than a roommate situation, you subject yourself to some serious situations. First, if the apt is not legal, you cannot evict. Second, you can be fined for every day there is someone living there if it is not legal.

Check with your town and/or an attorney. The minute you have a lease/rental situation, you set yourself up for problems unless you do it legally. Do not try to circumvent the law.

I have a friend who rented out an inlaw apt in her basement. When she tried to evict the new tenant for non-payment, he reported the apt as non-legal. She not only was fined for every day but eventually wound up with a misdemeanor conviction for doing so and the tenant took his sweet time in moving out - months.
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Old 05-04-2010, 01:46 PM
 
4,796 posts, read 22,833,498 times
Reputation: 5046
Quote:
Originally Posted by CharlieB View Post
First scenario - a roomate. I can't see how the town can prevent me from having a roomate - people do it all the time to help with the bills, no?
Don't be so sure. Where I live, any property owner that receives any income must obtain a basic business license, and a certificate of occupancy, and register with the department of consumer affairs rent control division. The C of O and rent control compliance are slightly different for roommate situations than with tenant situations--but you still have to follow that process. So yes, the town may be able to prevent you from having a roommate.

Don't assume that because other people do something, that either what they are doing is legal, or that they didn't have to jump through some hoops to be able to do it.

Talk to your local government, don't assume anything.
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Old 05-05-2010, 10:28 PM
 
31 posts, read 145,722 times
Reputation: 26
Thanks for the advice, everybody. I'll call the town and my lawyer before I do anything.
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