With the current market being how it is…I often tell potential sellers to rent their home out if they simply cannot stay in it. This is a much better option than trying to sell your home right now in this market. It WILL recover and become much easier to sell a home in at that point. I know that many people are considering selling because a) they are afraid of the market’s continued downturn or b) something changed in their lives that basically force them. However, my advice is to make these last options until the market makes more of a recovery.

With that said though…if you are considering renting out your home…it isn’t as easy and does come with some of its own risks and dangers. I was reading through today’s Realtor.org website and came across some brief but important things that you should consider if you are going to try to rent out your home/condo.

As I mentioned, as long as you go into it correctly and know some of the risks involved…I believe renting is often the best option in this market place. Sometime, even if a rent can’t cover your payments it may be better than taking a $30,000 hit immediately.

I heard a story the other day about a person who bought just a year ago and now have to relocate. They did 100% financing and were hoping to sell…unfortunately they were going to owe $30,000 and it would hurt their credit as a short sale. However, by renting they were going to simply lose $400/month but save their credit and maybe eventually be able to sell it for even more money depending on how long they held onto it.

Obviously, they chose the rental option.

Well…that is enough for now I guess. I’ve been working mobile today and it has been interesting. I may write some of my feelings about not having an office location tomorrow. Make it a great day!

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This entry was posted on Monday, May 12th, 2008 at 3:50 pm and is filed under Sellers. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.