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Max recommends renting out a room in your house as a way to generate extra income. He has successfully done this for five years, with all renters paying, though not always on time. He shares a lease agreement template and provides resources through his website, maxmymoney.org, which are linked in the video description. Viewers can access a set of 17 screening questions for potential roommates, a room advertisement template for platforms like Facebook and Craigslist, and a roommate agreement detailing house rules. This comprehensive approach aims to help landlords find suitable tenants and manage rentals effectively.