Should You Rent or Sell Your Home? Most homeowners who need to rent out their home should also explore whether it makes more sense to sell the property. It is not an easy decision but here are 5 questions that should help you make the decision more easily.
Here are a few questions to consider:
1) How do you Feel about Being a Landlord? Has it been a positive or negative experience for you? There are certainly stresses involved with being a landlord in exchange for financial compensation. Are you able to manage those stresses or is it too much on top of your day job, and family responsibilities?
2) Wil Your Rental Cover your Rental Costs or Bring a Profit? – In addition to paying the mortgage, taxes and perhaps homeowner association fees, are there additional costs that you are paying in order to carry your rental property? Don’t forget to include vacancy costs, property management and maintenance fees.
3) Are there Better Places to Invest Your Real Estate Equity? Are there personal or family needs which require access to your equity? If not, do you have a more solid re-investment plan?
4) Is your Neighborhood Trending Up or Down? – When homeowners rent out their own homes, it is with the belief that the real estate market will go up in the future. Look at the trends in your neighborhood? Which way are they pointing?
5) Do You Plan to Return to the Property or Not? – One of the best reasons to rent out a home is to serve as a temporary placeholder. Common reasons for this might include military deployment, long term travel plans, and contract jobs in another location.
Deciding whether to rent or sell your property is not an easy decision. If you would like to continue this conversation with a seasoned Realtor who will do what’s best for YOU, then give me a call today at 619-379-8616.