Renting out your garage can be appealing for several reasons. Instead of letting a garage sit empty, you can use the space to generate additional income. However, it does require careful consideration of legal, security and maintenance aspects. Before you clear out your belongings or convert your space, explore some tips on renting out your garage.
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Can You Rent out Your Garage in San Diego?
Generally speaking, you can rent a garage in San Diego. Depending on what you are renting it out for, you must familiarize yourself with the local laws and regulations. For instance, if you rent your garage as an apartment or accessory dwelling unit (ADU), the space needs to meet the requirements set by the state to be considered habitable. The requirements can include certain ceiling heights, electrical outlets, plumbing and temperature control.
Even if you’re renting the garage for storage or parking, you should still check state and local laws to ensure you comply with the rules for rentals serving those specific purposes. You might also have to notify your homeowners insurance before you make the decision.
How to Rent out a Garage
If you’re considering renting out your garage, understanding the process and steps you need to follow is crucial. Here are the basics of how to rent out your garage.
Prepare Your Garage
Before attracting potential renters, you must ensure the space is adequately prepared. This step is essential for getting the most value from your rental and maintaining compliance. Some of the key steps involved in preparing your garage for rental include:
- Cleaning: Cleaning and decluttering the space is crucial for making it presentable and properly assessing the available square footage. Start by removing all your personal belongings, then thoroughly clean every surface.
- Increasing security: Consider the safety of the renter and their belongings. You can improve security by installing an upgraded garage door opener, new locks and security cameras.
- Making upgrades or modifications: You might need to make certain upgrades to ensure your garage is suitable for rental and meets local laws. The modifications can range from adding shelving for extra storage to upgrading the garage door for better climate control or increased curb appeal.
Set a Rental Price
One of the main reasons for renting out your garage is to profit from the unused space, so it’s important to set a price that will maximize your earnings. The right price will also ensure your listing is competitive and less likely to sit vacant.
Look at similar garage or storage unit rentals in your area to understand the going rate in your local market. Use the prices as a benchmark for setting a competitive price. Additionally, you should factor in your expenses, like maintenance, repairs and utilities, and ensure the rental price covers them. You can ask for a higher rental price if you offer amenities like an insulated garage door and security cameras.
Create a Listing
Once you’ve prepared your garage and settled on a competitive and profitable rental price, you can create a listing to find the right tenants. Several online platforms have dedicated sections for garages and storage units to list your space.
To create a listing, take clear, high-quality pictures of your garage. You’ll also need to craft a detailed description that includes amenities, rent and policies to attract the most suitable tenants. In addition to online platforms, you can use word of mouth by letting your friends, family and co-workers know that you have a space available.
Find and Vet a Renter
As more people view and show interest in your listing, the next step will be to find and assess potential renters. Make a list of tenants that meet the criteria you set in your listing. For all the potential renters, check their credit scores, confirm employment, conduct background checks and contact references. Going through this vetting process will help you choose a reliable and responsible renter and avoid potential issues in the long run.
Establish Rules and an Agreement
Even though you’re just renting out your garage, it is still legally binding. You’ll need to draw up a rental contract that describes the agreement between you and the renter. The written agreement should clearly state the rental term, cost and security deposit. You can also include details about what the renter can store in your garage and any rules about access, usage and liability.
Pros and Cons of Renting out a Garage
Before you decide to rent out your garage, consider the pros and cons.
Pros
Renting out a garage comes with several benefits, including:
- Additional income: If you’re not using it, renting out your garage offers an excellent way to supplement your income. Renting for storage or parking can lead to long-term, stable rental agreements.
- Maximized property use: If your garage is empty or unused, renting it out allows you to make the most of your property without investing in major renovations. You can turn wasted space into a revenue-generating asset.
- Low maintenance: Compared to renting out a room in your home, a garage typically requires minimal maintenance. It’s often as simple as ensuring the driveway is clear and making repairs when necessary.
- Versatile rental options: You can potentially rent out your garage for storage, parking or as an ADU. Choose an option that best suits your space, budget and lifestyle.
Cons
Some potential drawbacks of renting out your garage include:
- Reduced privacy: Sharing your space with a renter means you’ll have less privacy, and your routines could be disrupted by someone else having access to your property.
- Security risks: Ensuring the security of the renter’s items can be challenging, and a bad tenant could pose a risk to your property or family. That’s why it’s crucial to enhance security and thoroughly vet the tenant you choose.
- Liability concerns: As the property owner or landlord, you could be liable for injuries the tenant sustains in the space or damages they cause to your property.
Help Your Garage Stand out With a New Door
Renting out a garage is one of the most valuable strategies for getting the most use out of a property, especially if your goal is to generate additional income. Making sure your space is in top condition is a crucial step to maximizing your earnings. A new garage door can instantly improve your space’s appeal, climate control, energy efficiency and security, especially when paired with a modern opening system. These are all qualities potential renters look for.
At Easy Open Door Company, we provide an impressive selection of garage doors from Clopay®. Our team also performs expert garage door installations to ensure reliable performance for your new tenant. Contact us today to schedule an estimate.
