Should You Rent Your Home?

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Real Estate

Should You Rent Your Home?

Inventory for homes to rent is very low right now. 

There are many factors in determining whether or not it makes sense to rent.  First, you need to think about your reasons for keeping ownership of the home. It is also a great time to sell.

Do you like the home so much that you want to hold on to it in case you ever move back? Are you looking for an extra tax break through property depreciation? Do you want to use the home as a basis for retirement investment?

These are all fine reasons for retaining ownership, but there are factors to consider that may outweigh the perceived benefits. For instance, are you prepared to be a long-distance landlord, hiring someone to maintain and manage the property for you? There are many other costs involved as well, such as advertising costs, turning costs (cleaning and painting between tenants), property taxes and insurance, utilities paid when your property is between tenants, and accounting costs. In order to assess these costs, you should research the numbers in your market. Expenses often run 30 to 40 percent of income before the monthly mortgage cost.

The ABCs of Property Rental

If you’ve decided to rent out your home, where do you start? First, get the house ready to rent by doing the home maintenance items such as painting and patching, carpet cleaning or replacement, appliance tune-ups, adequate insulation to cut down on utility bills, and fixing whatever needs fixing.

Then, set the the proper rent. Location rules when setting prices. Contact Debbie Cuiffo (914) 522 0106 today to get you the best price analysis.