I have a pair of applicants that wants to move in November. Credit scores are bad and they barely have enough to cover rent based on their spending habits viewed by bank statements.

If I collect first and last month rent and a safety deposit of 1.8x monthly rent. Would a 3 month rental agreement help to minimize my risk.

My contract would state something like, this lease agreement will not automatically become a month to month and a new contact must be signed with the landlord to renew for a new term lease, otherwise this lease will be terminated at the end of 3 month.

These same applicants have also notified me that they would like to have a guest from Mexico stay for the month of November (30 days from day 1 of move in).

I mention that anyone who stays more than 7 days consecutively is an automatic tenant.

Would it be a bad idea to charge this guest $55 x30days for example and write a sub lease for only 30 days with the currents tenants approval and pocket the extra income?

I would ask tenants to purchase renters insurance and have this guest provide me with his passport, visa and return flight ticket.

Yes, it is a BAD idea! ALL of it.

BAD for you, Good for them - because if they move in (IF they can scrape together the move-in funds) you will have them living there with any other person they feel like moving in for FREE. For a VERY LONG Time - while CA continues to deny you due process of law to evict them.

Leon, Please search this forum & website for information on how to screen for a good tenant.

Bone up on eviction laws because you

Jim is absolutely right: " Bone up on eviction laws "

You want to " charge this guest $55 x30days for example and write a sub lease "

That would make him a tenant, and then he (that is YOU!) are subject to the laws about no-fault eviction. You may have trouble to get rid of him or have to pay relocation fees.

Better is to identify him as a GUEST and write in for him to stay his month and no longer, and make his vacation a matter of eviction.

I'd suggest seeing a competent landlord attorney about writing up the agreement.

Thank you for you input. This is all new to me and i am finding it hard to find actual tenants.

i have only posted to zillow.

my place is close to the freeways and its central in the city. the place is 2b1b 750sqft with washer/dryer central ac/heat. the park is around the corner and the neighborhood is quite.

i have no garage but there are plenty of street parking. the house also has solar that produces about 200kwh per month. fresh paint and kitchen is updated.

anyone have any ideas how how to better advertise to bring in better clients? or make the place more desirable. some one told me to eat the cost and go with a firm to bring in tenants. anyone have any exp or advice on this?

also how long if off the market is a bad thing? if i rent out i can coverage mortgage cost completely.

These people sound like the same group of applicants I had years ago. There were two males (not sure what the relationship was), and they told me one of their wives would be coming from Mexico in a couple months to move into the unit with them and I wouldn't be able to meet her beforehand.

Then it was revealed that one of the males didn't have a social security #.