Should I Rent My House if I Can’t Sell It?

Rents are skyrocketing and homes are still at great prices. These two situations are also causing some sellers to consider renting their home instead of selling it. After all, a homeowner can get great rental income now and perhaps wait until house values increase even further before selling.This logic makes sense in some cases. There is a strong belief that residential real estate is a great investment right now. However, if you have no desire to actually become an educated investor in this sector, you may be headed for more trouble than you were looking for. You should answer the following questions to make sure this is the right course of action for you and your family. 10 Questions to ask BEFORE renting your home 1.   How will you respond if your tenant says they can’t afford to pay the rent this month because of more pressing obligations? 2.   Because of the economy, many homeowners cannot make their mortgage payment. What percentage of tenants do you think cannot afford to pay their rent? 3.   Have you interviewed experienced eviction attorneys in case a challenge does arise? 4.   Have you talked to your insurance company about a possible increase in premiums as liability is greater in a non-owner occupied home? 5.   Will you allow pets? Cats? Dogs? How big a dog? 6.   How will you actually collect the rent? By mail? In person? 7.   Repairs are part of being a landlord. Who will take tenant calls when necessary repairs come up? 8.   Do you have a list of craftspeople readily available to handle these repairs? 9.   How often will you do a physical inspection of the property? 10. Will you alert your current neighbors that you are renting the house? Bottom Line Again, renting out residential real estate is historically a great investment. However, it is not without its challenges. Make sure you have decided to rent the house because you want to be an investor, not because you are hoping to get a few extra dollars by postponing a sale. Who do you know looking to buy or sell a home? Call David. David Demangos Keller Williams Realty Cell: 858.232.8410 Realtor® BRE# 01905183 www.AwesomeSanDiegoRealEstate.com San Diego Real Estate Elite - Global Property Specialist - Green Specialist -ALC Committee - CIPS Our Team Goes to Extremes to Fulfill Your Real Estate Dreams! Download The #1 Real Estate Live Home Search App Below Awesome Home App