Should You Rent Your Home?

Real Estate

Should You Rent Your Home?

A scenario: You find a great job in another state. Do you sell or rent your home? Think about reasons for maintaining ownership. Do you want to keep the home in case you ever move back? Are you looking for a tax break through property depreciation? Do you want the home as a retirement investment? On the other hand, are you prepared to be a long-distance landlord if you move out of state? There are other costs involved as well, often running 30-40% of income before the monthly mortgage cost.

 

If you decide to rent the home, where do you start? Get the house in good shape, including interior and exterior painting and patching, carpet cleaning, have appliances checked out, ensuring adequate insulation, and fixing what needs fixing. A property management company or real estate agent can research prices in your area, or you can look in the real estate section of your Sunday paper.

 

You really don't need to hire a property manager, but it can make life easier, especially if you move out of the area. Interview at least three companies. Ask about accreditation, customer service, references, screening, experience, vacancy rates, maintenance, monthly reporting, handling evictions, insurance, fee structure, dealing with prospective buyers, inspection of the property, and any special services.