You may be hearing rumors that now is a great time to sell in Southern California, but some of you, though ready to move into a home that better fits your needs, might not be quite ready to let go of your home just yet.
That’s where renting out your home comes in. Many of our agents are skilled in finding qualified renters to take over the lease of your beloved home. Before you take the first step in renting out your home, first consider these three main factors, courtesy of REALTOR® Amanda Henry in our Rancho Santa Fe office.
Renting your home instead of listing it for sale is a really great option when you may want to move back in eventually, or you are looking for a way to build equity and overall wealth. Often, clients who want to sell learn about the benefits of renting their property and instead decide that it is the best option for them.
Here are a few deciding factors for individuals who are deciding between renting vs. selling your home:
Many clients have an ultimate goal of owning multiple properties and each one producing income and helping build their personal wealth. However, that is not usually exactly how it goes. Having an agent who can represent you in your rental transactions can be a lifesaver when it comes to choosing the right tenants and handling paperwork.
Our agents work with sellers who choose to rent their home instead, whether it is for 6 months or 5 years, and know the process intimately. They are experienced in finding qualified potential renters.
Ask yourself: Are you up for the challenge of managing your own property? Or, will you need extra assistance that may cost you extra money but save time and stress?
While renting out your home may seem exciting, keep in mind the current market, and future possibilities of the home’s location:
Licensed agents constantly research stats, facts, and figures, and can give you a great idea of what trends to expect in your community that will ultimately help you in deciding whether you should rent or sell.
Renting your home and moving to another home is profitable for some, and risky for others.
Look beyond your mortgage payment and make sure that the rent you’d like to charge will cover:
The goal is to ensure that you’re not stuck paying for a home that you wanted to profit from.
Talk to an expert. Many times, homeowners don’t take all aspects into consideration before financially deciding that renting is a better choice.
Our agents continually study the current rental market and future trends to see if other comparable homes are renting for prices that will help grow wealth. It’s important to understand your return on investment when looking to rent out your home, and know how things will look in 4-5 years.
There may be better solutions for the profit you’ll make over those years, and selling may be the best choice in the end.
If you’re thinking about renting your home, any one of our agents would be happy to have a conversation with you to talk about your options. Or, if renting doesn’t seem like the right move for you, let us answer your questions about selling your home.