Turning Your Home Into PG Accommodation? Mind These

Turning Your Home Into PG Accommodation? Mind These

Turning Your Home Into PG Accommodation? Mind These

Preeti Singh, a resident of Delhi, is a retired teacher and lives alone. The high cost of living in the national capital and the need for an income source to run the household has led her to decide to convert a part of her 4BHK flat into a PG accommodation. The trend is catching up in many cities across India, not just the national capital. However, it is more noticeable in metropolitan cities compared to smaller towns. Apparently, booming education and professional opportunities, has given rise to a new sub-market in the realty sector, the Paying Guest accommodations.

PGs are often regarded as a rental property or as a hostel accommodation. However, there are certain rules and regulations one must follow before planning to turn their house into a PG space. MakaanIQ provides some handy tips.

PG as a commercial (non-residential) property

When an apartment is converted into a PG accommodation, it should be considered as a commercial property. The owners are liable to pay the bills and the taxes, applicable at commercial rates.

Legal Formalities

Make sure you obtain all the necessary licenses and approvals, as per your state and locality, from the concerned authorities. It could be a simple written permission or an elaborate set of procedures. Conduct a background verification of the occupants along with all the documentation – the rent agreement needs to be properly validated by the occupant.


Check if suitable security measures, like CCTV facility, are in place. This is especially needed when renting out to females.

 Hire a marketing manager

 For the smooth running of your PG space, seek the support of a marketing professional who would advertise and attract tenants while also addressing queries and issues of the tenants.


Basic amenities ranging from home-cooked food, beddings and laundry service to added facilities of air-conditioning and Wi-Fi connection - these are some mandatory requirements which needs to be met by the PG owner for the smooth running of the PG accommodation as well as ensuring comfort of the occupants.

Also Read: Student Housing Market Springs Up As An Attractive Investment Avenue

Last Updated: Tue Feb 21 2017

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