In this market, many people are turning to renting out a house that they are unable to sell. In fact, more homeowners are renting out homes that they could not sell, then homeowners that are actually putting their house on the market. If you are contemplating making this move then I want to give you an alternative to renting out your house and my reasoning behind the alternative.
When you rent out your house, you are forced to deal with a few things that you probably don’t want to deal with. For example, when you rent out a home you are responsible for repairs on that property even if the tenant causes the damage. Unless you are set up to make repairs on a property regularly, then you might want to consider doing something else.
Second, when renting a property, you are also forced to collect rent and in some cases deal with evictions. These two processes can be very strenuous and tiring to an unfamiliar property owner. Finally, when becoming an unexpected property owner, it is easy to miscalculate expenses and end up paying money to rent out your home instead of profiting from it. I have seen this happen to many unexpected landlord’s because they did not realize some of the other fees that they would pay such as vacancy expense, landlord licensing (in some areas), and cleanup costs.
So the alternative to dealing with all of these issues is to either become a management expert or to do it a better way. Consider selling your home under a rent to own agreement. Renting to own will relieve many of the issues that a property owner has to deal with. No property repairs, no cleanup costs, and you can secure your sales price with your tenant as a potential buyer. You can also let a company rent your house for you. We Buy Houses Home Services has a program that will handle all of the details of a rent to own without the owner paying any direct expenses. The company would handle all the details, including tenant screening, rent collection, repairs, and if necessary eviction court cases.
Renting to own is also possible through an attorney that is well versed in lease options or rent to own setups. Consider renting to own as an alternative that allows you to rent the house until the market improves and sell the house to a buyer who is already familiar with the property.
Until next week…