Dwelling is rented out (8)
I believe the answer is:
resident
'dwelling' is the definition.
(thesaurus)
'is rented out' is the wordplay.
'out' indicates anagramming the letters (out can mean wrong or inaccurate).
'is'+'rented'='isrented'
'isrented' anagrammed gives 'RESIDENT'.
(Other definitions for resident that I've seen before include "Citizen" , "One living in the place referred to" , "always in memory" , "settled" , "one in the house?" .)