Renting a room to travel nurses

WHAT IT IS

1. House hacking, nurse edition

• You live in the homeAnd rent a furnished room to a nurse on assignment
• Weeks, not nightsTravel assignments run for weeks at a time
• The rent is incomeWith tax, loan and insurance rules attached

TAXES

2. Rent is reportable income

• Report itUsually on Schedule E with your Form 1040
• Split shared costsBy rooms or square footage, or another reasonable method
• Room-only costsLike painting the rented room: no splitting needed
• The under-15-days ruleWon't apply once a stay runs for weeks

Sources: IRS Publication 527 and Tax Topic 415.

YOUR LOAN

3. Check your mortgage terms

• FHA loansA borrower must move in within 60 days and plan to stay at least a year
• Renting while you live thereAsk your lender how it fits your loan

Source: HUD Handbook 4000.1.

INSURANCE

4. Call your insurer first

• Homeowners policiesOften aren't built to cover accidents tied to renting
• Ask aboutHome-sharing coverage or a landlord policy
• Also checkYour HOA rules and local laws

Source: NAIC (insurance regulators).

FAIR HOUSING

5. Your ad still has rules

• Owner-occupied, 4 units or fewerPartly exempt from the Fair Housing Act
• Never the adDiscriminatory ads and notices are banned even then
• Describe the roomNot the kind of person you want

Source: 42 U.S.C. 3603(b)(2).

SCREEN SMART

6. Common rental scam red flags

• Pressure to decide fast
• Won't meet in person
• Wire transfers only
• Keep a written agreement and payment records

Source: FTC. Educational only, not financial advice. Talk to a fee-only fiduciary or CPA about your situation.