Renting Your Home

2014/08/buy-or-rent-300x300.jpgSelling a home might sounds like a good idea but renting it could be a long term profitable investment. You can think about renting a house after answering some of the important questions here:
• What is your financial situation?
• What are the Middle TN real estate market conditions for rental homes?
• What are your future housing plans?
• What is your tolerance for being a landlord?
• What are the state and federal income taxes?
• What are the current and expected home prices?
It is always better to take the help of a professional who can work out with your financial situation. He can help in looking at your credit history, savings and equity of your home. Based upon that, he can guide you whether it’s a good idea for you to rent your home depending upon your personal situation.
If you think that your property has the ability to provide you a better cash flow consistently, nothing could be better than that. You can decide whether you want to make money by selling it at once or you want to rent it out and get monthly profits. There are homeowners who are happy with 5 to 15% of return of cash on their properties after selling them. But there are others who want to get more. It also depends upon how financially stable you are. If you are in dire need of money, selling home is a better idea but if you aren’t, then you can think about renting it out.
Renting also comes with its disadvantages. First of all, you will have to manage your property and find the right tenants to live in the home. It can turn into an issue too if you’ve got problem tenants. Apart from that, you will be taking care of minor or major renovations in the house too. It’s the job of a homeowner to ensure that property is in a good condition.
If you are considering renting your home, some if the important things to look for are:
• Look for the areas where the renting conditions are good. There are many neighborhoods that are famous for renting, known as rental neighborhood.
• You need to check the different laws
• Conduct a comparative study by looking at the same kind of houses like yours. It will give you an idea what rent you can ask for etc.
• Check the insurance policies too. If you are renting your home, you will have to pay more insurance than usual.
• Get your rental screening. There are many renter management companies that can do that for you. It will help you to find out whether your house is good for renting or not.
Renting might sound tricky but it has its benefits. The major one being a source of constant monthly income. That’s why; it is better to always give it a thought. But you need to make sure that you are looking at the Middle TN real estate market condition too. If it’s feasible for renting, then you can give it a serious thought.