Google Answers Logo
View Question
Q: Renting a house on an H1B visa ( Answered,   3 Comments )
Subject: Renting a house on an H1B visa
Category: Miscellaneous
Asked by: homebuyer1234-ga
List Price: $30.00
Posted: 20 Oct 2005 22:11 PDT
Expires: 19 Nov 2005 21:11 PST
Question ID: 582934
My husband and I are in the US on H1B visas. We're looking to buy a
home; and the current owners of the home want to move out 2 months
after closing, and want us to rent it to them for the 2 months.
Effectively, we will be landlords for 2 months and have additional
income from the purchase. Is this against immigration law?

Request for Question Clarification by cynthia-ga on 20 Oct 2005 23:19 PDT
No idea, but talk to your agent. It may be possible to apply/credit
the rent towards your down payment, closing costs, or any number of
other closing costs..
Subject: Re: Renting a house on an H1B visa
Answered By: wonko-ga on 01 Nov 2005 00:08 PST
According to the following two sources, your H1B visa status
does not prevent you from legally receiving rental income.  Regarding
the advisability of such a transaction, you certainly want to have a
contract clearly stating the duration of the rental agreement and
providing you with protection in the event they do not vacate the
residence on time.  Consultation with a real estate attorney with
experience in this area would be advisable.



"mgasior : May an H1B-visa holder have a passive income such as rental
income or income from dividends in the US? Thank-you!

SPEAKER_Attorney_Murthy : Yes, an H1B or other foreign national is
allowed to invest in any enterprise in the U.S. No problem! Investment
or rental income is not the same as compensation for services."

"MurthyChat Session" Law Office of Sheela Murthy (November 6, 2000)

"I am working on an H1B visa and just started with my Green Card
application.  I bought a house a few months ago.  I now have the
opportunity to move to another state (with another company).  What are
the rules regarding renting my house to someone else?  Am I allowed to
receive such income?

Being in H-1B status does not impact your ability to receive rental
income or other non-employment income.  However, such income will need
to be reported on your annual income tax return."

"Ask" by Marc Topoleski, Siskind Susser(2003) Siskind Susser

Search terms: H1B visa "rental income"
Subject: Re: Renting a house on an H1B visa
From: markvmd-ga on 21 Oct 2005 02:46 PDT
Aside from the legality (you probably need a tax attorney to answer
that), it is always dangerous to do a rentback to sellers. These
situations seem to commonly cause big headaches and the sellers never
seem to be out of "their" house on time. Make a solid written
agreement with penalties for delays and indemnification for failure to
Subject: Re: Renting a house on an H1B visa
From: myoarin-ga on 21 Oct 2005 03:21 PDT
Mark has got a point.  If the sellers can present documentation that
they have a lease or purchase contract to justify their staying for
two months, that might be okay  - with an agreement such as Mark has
suggested.  If they think the terms are onerous and demure, well, that
suggests that they are not so sure that they will have somewhere to
move to in two months.  If they cannot provide justification, that
says a lot.  Don't take any promises.
Yes, talk to the real estate agent:  he/she wants to make the sale,
and he has got a buyer.  Finding another one that would agree to the
two months' rental would make him have to start all over.
Subject: Re: Renting a house on an H1B visa
From: immlawny-ga on 21 Dec 2005 09:37 PST
Rentbacks are generally not a good idea.  You have the possibility of
damage to the house while the old owners are in there-- you have to
notice the damage and argue about it with the old owners who will
usually say "Oh, it was like that when we closed."  Most buyers refuse
to rentback to the seller, except on an extremely  short term basis,
by which I mean a few days, not a month or more.  What about
postponing the closing for the two months- then they could move out on
the day of closing.  You could ask them for any morgtage penalty you
have to pay to extend your rate. . .  just a thought.

Good luck.

Important Disclaimer: Answers and comments provided on Google Answers are general information, and are not intended to substitute for informed professional medical, psychiatric, psychological, tax, legal, investment, accounting, or other professional advice. Google does not endorse, and expressly disclaims liability for any product, manufacturer, distributor, service or service provider mentioned or any opinion expressed in answers or comments. Please read carefully the Google Answers Terms of Service.

If you feel that you have found inappropriate content, please let us know by emailing us at with the question ID listed above. Thank you.
Search Google Answers for
Google Answers  

Google Home - Answers FAQ - Terms of Service - Privacy Policy