Upgrading to a new Home? Sell or Rent Your Old Home?
It can be an exciting time purchasing a new home especially when you are upgrading to a bigger or nicer home. One of the more common questions realtors get is to whether to sell or rent out your old home. With recent increase in rental prices the most ideal factor is renting out your old home. But does that make sense for you?
A lot of factors can come into play when renting out your home. Namely can your home rent for a good price that justifies the headache of tenants. Or can you even qualify to have two mortgages.
Luckily there are many resources to help you succeed if you choose to rent your home out. The primary source to look is on search engines like google or bing. Search for rental prices in your area to see your market rent.
Second, talk to a loan officer about qualifications for holding two mortgages. You might not be able to use the rental income from your old home until you have 2 years history of it.
There are many positive aspects to renting your home such as passive income and appreciation on your home. The Tucson market has seen an increase in rental prices over the past few years to bolster your passive income from rent.
The negatives of renting your home finding tenants, expenses during vacancy, maintenance, and tenant evictions. Those can be an intimidating hassles that you might not know how to handle. Luckily there is a solution, hire a Property Manager!
According to huffingtonpost.com, it is wise to hire a property manager. They can "handler every issue with the property for a very nominal fee - usually 10% of the monthly lease for one single family residence" see piece here.
Property Management in Tucson is a highly competitive area. You can find a quality property manager for around or even lower than the 10% on average fee. Look for a property manager who can market your property, handle maintenance, screen tenants, show the property, has good connections with eviction lawyers, and is in compliance with Real Estate Laws.