A great way to make extra money is by renting out your home. You can rent out a room for a weekend or rent your entire residence for several months. However, before you get into the rental market, it’s important to familiarize yourself with the process.
How to rent my home in Denver
The first step is to assess your situation and decide what you have to offer. If you have a spare bedroom and are considering renting it on Airbnb or finding a roommate, this may lead to a loss of privacy because of shared common spaces. If you have a duplex or a multifamily unit, you may have more privacy, but you may share walls. On the other hand, buying a rental home is the easiest but also the most expensive.
The next step is to look at the numbers. There are several numbers you need to look at, including the mortgage of your rental space, the average current renting prices for the competition, and your own finances. You also need to compare other metrics, such as the average growth of rent prices, the price per square foot in the current market, and location availability.
Finally, you need to determine how much you could earn. Once you have taken all things into consideration, it’s time to price your rental unit accordingly. You should factor in maintenance costs, land payments, and insurance. It’s important to look at rental properties as a tool to help reach financial goals and set personal preferences aside.
In the Denver area, the average rental price for a unit is just under $2000, and the average apartment size is a little over 800 ft.². In the last few years, the Denver rental rates have increased steadily, so if renting out your home is an interest, there is no better time than the present.