How to Use Your Home as an Income Property

An income property is a home that is bought or developed to generate income. Renting it out either in part or in its entirety. Using your home as an income property can be a financially rewarding experience.  It can help to provide extra income to your household and help you pay off your mortgage. Having said that, it can also go drastically wrong if you aren’t well prepared for the responsibilities involved.

Before taking the step to either convert your current property or to invest in a new one, it is important to understand some of the key points involved in using your home as an income property.  Below you will find a few tips.

How to Use Your Home as an Income Property

Here are a few things to consider before you start.

  1. Check the Municipal regulations.  Are you legally permitted to turn your home into an income property? Would the unit adhere to all existing building and fire codes?
  2. Financial considerations.  Does your home require renovations to make it tenant ready? If yes, do you require financing? Has your bank pre-approved you for a loan?
  3. Legal Considerations.  Make sure you understand the landlord – tenant relationship regulations in your province. This will have a great impact on what you can and cannot do as a landlord.

After your initial research, there are a few things you can do to make your property more attractive to potential tenants.

  1. Clean.  Your home should look clean and tidy inside and out. This will bring more renters through your property and you will have a more receptive audience
  2. Update.  From simple changes such as fresh paint in a neutral color to major renovations, try to make your home look and feel as spacious, bright and comfortable as possible.

When you’re ready to rent, price and market your unit competitively. Scan the classifieds and visit rental websites to find out how much similar units are being listed for.


There is a lot to consider when turning your home into an income property. While it may seem daunting from the outset, doing sufficient research to understand what is involved is key to making it work on your terms. If you can turn your home into a successful rental property, it can be very rewarding – you‘ll have an extra source of income and tenants can help pay off your mortgage! If you’d like any further information about using your home as an income property please feel free to contact me directly.


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