Renting my house out

[bearcat]

Ok, I will try to include enough info here for this to make sense. I'm sure in the long run I ultimately need to talk to my attorney but there are so many insightful people on this forum with great information so I'm throwing it out for discussion.

I am currently in a Ch 13 (about halfway through!) and I am paying my mortgage outside of the plan. A few months ago I got engaged and my fiance and I would like to create a home together (obviously). My question is this, can I rent my home out during my 13? I wouldn't be making any additional income off of the property as I would just rent it for enough to cover my payment, taxes and insurance. At the same time I would be moving in with my fiance and be paying him almost exactly what I am paying in my current house (with payment, utilities, etc) for my portion of the household expenses.

Any insight would be greatly appreciated!

[zeezee]

This may not be a good idea...have you accounted for contingencies such as if the renter doesn't pay? If something needs repairing in the rental? How long it may take to rent it out? etc. etc.

[bearcat]

I don't think it will be any problem to rent it out and I was just going to be REALLY picky about who I rent to. Even still I know things can happen and my fiance is willing to be flexible in my payment of bills in his house if things like this occur. I mean really, with the 13 and all I don't really have extra funds to cover repairs/emergencies as it is so I guess that wouldn't change!

[zeezee]

Well I hear what your saying but I think with having so much longer to go that you really have to take into account what COULD happen. It's great the fiance is going to be there to help. Is he stable in his profession? I hope so, because what if he lost a job? It's not unlikely in this economy. Sorry to be a negative nelly, but it like one of those things you just see coming from a mile away.

Sorry, nothing to add in reference to your original question. I'm sure one of the resident guru's will be along to give you some guidance.

[bearcat]

I understand everything you are saying. Fortunately he is very stable in his job, in fact their company is doing exceptionally well...a shock, but a nice shock in this economy! Thanks for your thoughts, I appreciate any feedback, I just don't know what else to do with the house.

[justbroke]

So long as the rental doesn't affect your ability to pay, I don't see any reasons for it not to be okay. If you're making a profit, then you'd probably need to commit the profit to your plan (unless it's already 100%).

This is a really good question!