There will be a time in your life when you have to make a choice between renting and selling. If it is your childhood home, then you will be reluctant to sell it because it holds so much memories and if you are renting it you will definitely worry about your tenants maintaining it the way you did. However, sometimes due to job demands or other reasons you will have to leave home, sometimes permanently. What do you plan to do about your home then – rent or sell? Have a look at the dangers of both before you make the final decision.
Horrors of Renting
Not getting the Monetary Benefit
If you prefer to become this ‘long-distance landlord’ then you can rent your home. Often people are faced with the option of renting their home if they are not able to get a good buyer. That and the additional burden of relocating to a new destination always add to your woes. But sometimes you have no other option. Often you have to put up with eviction notices, missed rents and destructive tenants before you finally decide that enough is enough. True, when you are renting your house, you will make money out of it, but how much money do you have to pay as interest, taxes, repairs and insurance? Will the rent cover that and still make you a tidy profit?
More on Disruptive Tenants
Tenants can really do serious damage if they feel like. They can:
- Pay the rents late
- Refuse to pay
- Destroy the furniture and other equipments in your home
- Scribble on the walls
- Fail to mow the lawn or weed the garden
- Break the lease agreement
High Vacancy Rates
If you are living in an area that is fraught with rental homes, then you will have to compromise with renting. If your rent barely covers the expense that you have to pay for the house, then probably you will be better off selling the house, even with a discount on it.
Of course, this doesn’t cover all the horrors you face while renting, but let’s think about selling terrors now
The home in which you grew still contains all those sweet memories from the past. You cannot take them with you, nor can you erase them. But you cannot expect the buyer to hold the same emotions. He may rip apart the room which you shared with your sister, or the dining room in which your family shared many a meal.
Not Hiring a Realtor
Most people think they can sell their property without hiring a realtor. They feel they can save thousands of dollars that way. It could also be the biggest mistake they make, and probably the most expensive one too. Only an experienced realtor will be able to help you get a good price for your property. Do you really know the value of your property as opposed to similar other properties in the market? Do you know how to enhance your property so the buyers will be warmed towards it? If not, then get in touch with a realtor.
Hiring the Wrong Realtor
The realtor you hire should be familiar with the local market and the prices of the houses in that area. If you hire a realtor (who lives in another state) just because he happens to be a good friend, you may not even be able to sell the house. Even if he makes a sale, the price will be too low.
License: Creative Commons image source
Photo by Phil Sexton