Naturally, with such a radical approach to creating affordable places to live, you will have questions. We have formulated a list of commonly asked questions and their answers.
Can We Finance the Basement Reno on our own?
Absolutely! We would build the apartment and still find and manage tenants for you. In this situation there would be no need to share the rent with you.
How long is the rent share?
The rent share really depends on the cost of the renovation. The typical time frame would be 7 years.
What if I decide to Sell My House?
You can absolutely sell your house. The new owner can take over the remainder of the contract, or you can buyout the remainder from the proceeds of the sale.
How much will my share of the rent be?
Great question! Our model is based off of typical apartment costs and taking into account current market rents. The goal is to provide the homeowner with a monthly residual income of 20% of the monthly rent, however this may fluctuate from time to time.
Will you build our basement apartment even if we want to rent at market rate?
Although our purpose is to create affordable rental spaces, we wouldn’t be able to do that without generating revenue from other business. So, yes we will build your basement apartment and will allocate a percentage of the profit towards affordable house projects. You can still feel good about choosing Radical Housing to help build your apartment.
I want to turn my current apartment into an affordable rental unit, will you be the property manager?
Yes, we will manage your property for you, as long as the unit is rented at 20% below market rent.
who are the typical Tenants?
Tenants can be very diverse, however, the common criteria is that their annual household income is below $60,000 and the rent paid cannot be more than 30% of their gross income. We also look at what a tenant is currently paying towards rent and will work towards helping the most vulnerable situations first. We do check credit and verify income.
