You often hear comparisons between buying and renting a home. However, when the time comes to be a seller yourself, you’ll be forced into a different kind of assessment: to sell or to rent.
Ryan Severino, senior economist for a real estate research firm, used to live that life three years ago. He had put up his New Jersey home for sale at a time when home prices and mortgage rates were down. It took him around nine months to get a buyer; by that time, however, market conditions had changed dramatically. U.S. News’s Harriet Edleson writes:
“It was tough to sell it in that market,” Severino says. “We had the house on the market for sale while we were getting inquiries for renting it.” But Severino knew he didn’t want to be a landlord, and “didn’t want the money tied up in the house.”
Selling your means it is completely out of your hands as somebody else owns it. If you’re renting out your property, however, you’re still tied to it in a way. You take on a new occupation—i.e. that of a landlord—that entails certain duties.
For instance, the landlord is responsible for anything that breaks in the house and liable for any injury to the tenant as a result of these defects. Terms vary, but the rule of thumb is for the landlord to act upon anything that is broken—from plumbing to roofing—within 24 hours. The last thing a landlord needs is to be slapped with a personal injury lawsuit.
On the bright side, landlord expenses are deductible. You can file for a deduction of the cost of making the trip to and from the rental property, among others.
However, selling College Station real estate has its own advantages as well. In a market where property prices are on the upswing and consumer confidence is at an all-time high, selling a home can guarantee a bigger return. All the same, experts suggest holding onto the house for a little longer if moving isn’t your top priority.
When it comes to prime College Station, TX real estate, the decision to sell or to rent out a property requires careful planning. It will all depend on how much you’re willing to fork over in landlord expenses as well as whether you are comfortable with the idea of renting out your home in the first place. In any case, be sure to enlist the aid of an expert such as Keller Williams Realty.