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Will you have problems with your room rentals? If you even have to ask, you probably aren't ready to make your home into boarding house. Yes, you will have problems. I can say from experience, though, that they don't seem nearly so bad as the problems I had when I owned rentals which I didn't live in. You just have a lot more control in your own home.

Be Firm

If you have a tenant that is becoming a problem, lay down the law. Let the tenant know that it is your home, and you may decide not to have renters, or at least not his particular one. The sooner you say something, the better.

Find Profitable Solutions

I had a tenant whose truck broke down. By the time I returned from a vacation, he had bought another car rather than repair the truck. I reminded him that he could only have one car in the driveway, and he would have to get rid of the truck. He said he would soon, but I knew better.

"It is extra per week for the extra vehicle," I told him. He was okay with that, because in his mind, he really thought the thing would be gone in a few days. Eight weeks later he realized it was costing him some money to keep that thing around, and he finally sold it. Good for him - I was about to raise it to per week for the extra vehicle.

Another tenant was having problems paying rent on time. This is when I instituted late fees. In fact, I knew he was an honest enough guy, and he wouldn't stiff me, so I just let him pay late - with the extra fee - as often as he wanted.

Not sure if you want a dog in the house? If it is a well-behaved dog, you might want to just charge extra for it. I personally wouldn't allow pets, but maybe if a tenant had offered enough extra rent...

Be Decisive

Indecisiveness is a recipe for stress. If you aren't sure what to do about a problem tenant, do something anyhow. Evict him, change the rules, give him a last warning - but do something. You'll feel better the moment you make up your mind.

Keep The Rules Posted And Updated

Let tenants know that there are house rules. Keep the list on the refrigerator or in any obvious place. Update the rules as necessary. If a tenant is having too many friends over, make a new rule limiting visits. A new rule that applies to everyone is preferable to having him feel you are just picking on him.

Room rentals are a great way to make thousands in extra income. Just be sure to be decisive and deal with any problems immediately.

About the Author: Copyright Steve Gillman. For more great tips, see the ebook Boarding House Profits and other useful insider information at: http://www.99reports.com/boarding-house.html