What will be the homeowner position in this situation with the Bank or IRS? Do they has to know the intentions of the homeowner to rent this house?
Many question huh? Can anyone answer a least one?
I would appreciate your time and knowledge.
Posted in Renting & Real Estate
As the owner of a property you can rent it out to anyone you please as long as you and the tenants comply with the properties zoning bylaws of your area. For example if the home is a single family residence you may not rent it multiple families. As for the IRS, the income produced buy the rent collected is most likely taxable. You should consult with an accountant and or tax lawyer for more details.
As a home owner you do have the right to rent the home out. The bank is concerned about your payments. The IRS will now know it is a rental as you will be using it as a rental and declaring that as income and using it also as write offs. I would advise to see your Tax man.