Pros and Cons of Letting to Roommates

Letting to a roommate could be convenient, a headache, or you could come out of it with a best friend! Before putting that room on the market, consider the risks and benefits of living with your tenant:

Should you let to roommates?

Pros:  

Make your bond easier to pay off

Investing in property isn't a small deal when it comes to that mortgage payment at the end of the month. Having someone to make the bill a little less heavy can make all the difference to your surplus for the rest of the month. 

Share utility costs

Whether there are one or two of you in the house, there is not likely to be a noticeably big increase in utility bills. This is because you will use the same lights, geyser and if you share meals, won't be using any more electricity on kitchen appliances. If your roommate is required to contribute to water and electricity, it will definitely lighten the load of living expenses. 

Distribute household duties 

If you enjoy household chores, you would be among very few. A roommate means an extra set of hands. Discuss standards before your tenant moves in so there is no confusion relating to daily maintenance in the future. 

Gain a friend 

The best thing that could happen in this situation is gaining companionship. If you end up building a healthy friendship with your roommate, the company is priceless. This also makes any other possible concerns easier to deal with, as you don't have to worry about hostility or tension. 

Cons: 

Risk late rental payments

It can be tempting to invest in property that you would not otherwise be able to afford without someone contributing rent. The risk comes in when bills aren't paid on time. Be careful to become so comfortable with your roommate that you lose your professional financial relationship, and be prepared that there is always the risk of late or missing payments.

Sacrifice your privacy 

You will never have the same kind of privacy as you would living alone. Even with your own room, you will always have unavoidable communal space. If you can't handle someone else living in your space, getting in a roommate wouldn't be the wisest move. 

Get stuck with someone lazy

As much as having a roommate can get household duties done quicker, if you get stuck with someone who isn't willing to put in the effort, you could sit with double the work, and no help at all. Before choosing a roommate, don't make the mistake of compromising with someone who comes off as lazy. 

Risk living with someone you have tension with

As great as it would be to find a friend in your tenant, it is equally as disastrous if you get bound into a contract with someone you don't get along with. You aren't just picking a tenant who you hope will look after your property, but also someone you hope will respect your privacy, and your amity. 

If you're considering letting one of your rooms, but don't know where to start - reach out to us for guidance!