Early Retirement Extreme Forums

Does anyone rent out properties for income as part of their strategy?
How well has it worked and what have you learnt?

It works well. Tenant is now a Friend. Renting below market rate was a great way to attract and choose a Nice tenant. The réduction in complaints and worry is worth the loss in income.

Thank you for your input, I'm thinking of doing maybe not immediately but in a while. I think you are right about below market rate, having a property that pays top dollar once-in-a-while pays less then one rented out constantly.

I have a rental house, in another city. I use a property management company. I rented out my house that I'd been living in when I had to move. It's a great way to build equity. I've been lucky; I had the same tenant for 6 years, which substantially reduced my turnover costs. Last year was an expensive year, because I had an insurance claim (new roof--had to meet deductible), and then pretty substantial costs to replace carpet and do some upgrades to be able to charge a higher rent to the new tenant. The good news is, US tax laws are pretty favorable to owners of rentals. The biggest thing I've learned being a landlord is not to try to make a killing on the rent--much better to have a long-term rental and forgo big increases in rent.