I am renting my previous house to a friend for less than fair market value. In exchange they provide me with peace of mind knowing that the house isn't vacant. I consider the fair market value less rent as services received so that rent+services received(i.e. house sitting) equals a fair market value. I plan to do this so that I can file Schedule E instead of counting the below fair market rent as just miscellaneous income for myself. Do I need to provide my friend with a 1099-misc because I'm claiming that they are paying me in services received and not just in rent payments?
