Thinking about turning your condo into a rental property? Whether you're relocating, testing the market, or exploring passive income, renting out a condo can be a smart financial move—especially in desirable areas like Arlington, where demand for well-located units remains strong.

But before you hand over the keys, there are some important legal, financial, and logistical steps every condo owner should understand. Here’s a step-by-step guide to help you get started the right way.

1. Review Your Condo Association Rules

Before you list your condo, check your governing documents—bylaws, rules and regulations, and condo disclosures. While most Arlington condo associations are rental-friendly, you’ll still want to confirm:

• Minimum lease terms (typically 6 or 12 months)

• Move-in or move-out fees

• Elevator reservation requirements

• Restrictions on lockboxes or signage

Good news: most Arlington condo buildings do not impose rental caps or require board approval before leasing. But it’s always best to verify building-specific policies in writing.

Bad news: If you are thinking "hey, I could make a killing on AirBnB", forget about it. Just about every condo in Arlington prohibits short term rentals, not just on AirBnB, but any platform. Most buildings will have a six month minimum lease length and a few have a year. 

2. Understand the Financial Implications

You need to view your rental condo as a financial investment. The mistake many first time landlords make is thinking "If the rent is greater than my mortgage payment, I'm cash-flow positive." Unfortunately, it is not that simple.

Some costs to keep in mind:

• Condo fees – Still your responsibility, even when the unit is rented. It is rare to see a lease that passes this cost onto the tenant. 

• Special assessments – These can’t be passed on to the tenant

• Landlord insurance – Protects you against tenant-related damage or liability (a different policy than owner-occupied coverage)

• Vacancy - Renters are naturally short term focused and move frequently. Factor in some time when you won't be collecting rent. There are also turnover costs involved between tenants - cleaning, painting, carpeting, are a few common items. 

• Repairs – Budget for minor repairs. 

• Capital Improvements - Over time, you will need to make some larger expenditures on appliances or HVAC equipment. 

Smart landlords set aside 10–15% of monthly rent for ongoing maintenance and reserves.

3. Know the Legal Requirements

In Virginia, landlords must follow both state landlord-tenant law and local regulations. Key requirements include:

• Security deposits – Must be held in escrow and returned within the legal timeline

• Disclosure forms – Required for lead-based paint (if built before 1978), mold, and other known conditions

• Termination notice periods – Must be clearly spelled out in the lease and follow Virginia statutes

When in doubt, consult a local property attorney or experienced agent.

4. Understand Service Animals and ESAs

Service animals and emotional support animals (ESAs) are not pets under the Fair Housing Act. That means:

• You must make reasonable accommodations for tenants with documented service animals or ESAs.

• You cannot charge pet rent or fees for these animals.

• You can request documentation in the case of ESAs—but not for service animals.

Violating Fair Housing protections, even unintentionally, can result in costly penalties. When in doubt, seek legal guidance.

5. Set the Right Rent Price

Pricing your unit correctly is key to minimizing vacancy and maximizing returns. You can:

• Check recent rental comps in your building or neighborhood

• Adjust for square footage, upgrades, amenities, parking, and view

• Use tools like ArlingtonCondo.com, Zillow, Rentometer, or Apartments.com.

6. Prepare the Unit for Tenants

A well-prepared unit attracts better tenants and reduces days on market. Before listing:

• Fix anything that’s broken or outdated

• Deep clean everything—walls, baseboards, carpets, appliances

• Remove personal belongings if previously owner-occupied

• Consider light upgrades: modern light fixtures, new paint, or refreshed flooring

Think like a tenant—would you want to move in tomorrow?

7. Market the Condo Professionally

A strong online presence is key. Use high-quality photos and 3D tours. Highlight your condo’s best features, and include important details like:

• Square footage and number of bedrooms/bathrooms

• Included parking or storage

• In-unit laundry or upgrades

• Nearby transit, parks, and shopping

Pro tip: many renters start their search on mobile. Make sure your listing looks good on a phone screen.

8. Screen Tenants Carefully

Choosing the right tenant is the most important decision you’ll make. Always:

• Run credit, criminal, and eviction background checks

• Verify employment and income

• Call previous landlords for references

Apply the same screening criteria to every applicant to stay compliant with Fair Housing laws. No exceptions.

9. Create a Strong Lease Agreement

Don’t rely on generic lease templates from the internet. Your lease should comply with Virginia law and clearly outline:

• Rent amount and due date

• Security deposit terms

• Length of lease and renewal process

• Pet rules, smoking policy, and guest limits

• Maintenance responsibilities

• Condo rules the tenant must follow

Many landlords also require renters insurance, which is inexpensive and reduces liability.

10. Decide Whether to Self-Manage or Hire a Property Manager

Managing a rental condo isn’t passive—someone has to collect rent, respond to repairs, and enforce the lease. You have two options:

• Self-manage: More control, but time-consuming and hands-on

• Hire a property manager: Typically charges 8–10% of monthly rent in the Arlington area, but handles everything from screening to repairs

👉 If you don’t hire a property manager, by default—you are the property manager. Be honest about how much time and energy you can commit.

Final Thoughts

Renting out your condo can be a smart way to generate income and build long-term wealth—but it comes with responsibilities. By getting organized, staying compliant, and treating your rental like a business, you’ll be better positioned for success.