Rent my house or sell it?

[Blood AxeParticipant 1179]

Recently I’ve been thinking a lot about buying a second house and renting it. If it works out then maybe buying more rental property. It seems like a good plan. I’m sure it will have it’s challenges. It would be an easier way of making money then my current slave labor job. I’m getting older and need to find easier ways of making money.

I think you should try to rent it out. If it doesn’t work then you can always sell it later.

Back off Barbie!

[Professor ChaosParticipant 489]

SELL!!! Every market is due for a correction in the United States.

[sidecarParticipant 35837]

Are you still within the time limit where you can sell your old home and claim the income against your new home purchase, thereby avoiding income taxes on the sale?

[Anonymous 3]

Workhard wrote:

I recently bought a second home. It is in a more upscale part of town and I have not stayed at my old home for a few months now. I still owe a little on the mortgage but just want your guys opinion on whether I should sell or rent it. Opinions please.

What if you sell it, and you pay off all the mortgage of your new home (if you bought new home on mortgage)? Then you have a less complicated situation, less property taxes (if there is such thing in that country), and less risk of losing property (so, less insurance to pay)

Also, being a landlord can be risky. You may get a stupid bitch tenant. I don’t know any methods for choosing the tenants. If one directly says that he wants “no women” or “no kids” (and no pets, no parties in the house, whatever…) then it may be “discrimination” and may be illegal, check the laws. Also, one needs to write a contract, for that legal advice is good to have. And, what if stupid tenants make a fire in the kitchen? What level of stupidity does the insurance cover? Lot of questions.

Being a good tenant myself over five years here, the landlord did only raise the price for me just minimally, because “I do not make any harm and keep the flat in good shape”. That explains the risks. Previous tenant made lot of problems.

[MorpheusParticipant 2177]

I heard of a guy who bought a house in 2007 just before market crash and sold it last year. He only made 25% profit. The time is good to sell as prices keep dropping. Many a times, the renovation costs exceed what you make from rent. Now, if you are looking for long term investment like 2 or 3 decades, then keeping it is better.

[RhinoParticipant 3477]

If you have a mortgage on your new house sell the old one and pay it off as fast as possible. Renting out is a double edged sword it can be great if you find the right tenants but eventually something always bad will happen. You will have to be ready and plan ahead for this eventuality. I have dealt with thousands of tenants throughout my career and I can safely say as a property manager it can become a s~~~ show if you are not properly prepared.

If your house has a finished basement and is in a rural area you can double rent out your property for even more profit. It may cost a bit more to make a second entrance to the outside and convert the basement into a second apartment but it would be worth it if you can rent it as a double or even triple rental. You will have to deal with more tenants but the profit margin will be much larger.

Look in your area what apartments are going for and then look at how much a house of your size is going for in rent and you can figure out how much you can get in rent for your house without over pricing yourself out of the market. By the look of what you wrote your house is older and may have some issues that need to be addressed before renting. If you have to put more money into the house to get it rentable don’t bother unless you are going to double rent it out. Hope this helps good luck.

[anonymousyamParticipant 4605]

To be honest this is a real tuff one here but i can make valid arguments against renting properties out and that is that you are responsible for those properties, if the Air conditioning breaks you gonna pay, the roof starts a leaking you gonna pay, stuff like that.

But a even worse thing is you do not know the type of people you are gonna rent out your house too, you could be dealing with Squatters who never leave, people who steal from the house (copper, pipes, wiring, dish washer, washer and dryers even the goddamn oven if they are professionals at it.

And with Squatters you cannot just kick them out without going through a process and by the time you get them out all the s~~~ or more of what i said will be stolen plus the property will likely be damaged.

Just an east coast asshole who likes to curse, If you get offended by words like fuck, cunt, shit, piss, bitch or any racial slurs then you just scroll down.

[sidecarParticipant 35837]

One other thing: If you do choose to rent, rent to a single man, not to a woman or a couple. An exception might be made for an established gay men couple, but not for hetero couples or, even worse, lesbians. You do not want your assets in the middle of their inevitable breakup drama.

DO NOT, UNDER ANY CIRCUMSTANCES, RENT TO A SINGLE MOTHER.

[Anonymous 1]

Sidecar’s advice above about renters is a good notion, and smart…but be careful. Depending on whom you turn down, you could be in for a feces storm that would require lawyers and time (losses) to you. In the end, they would win, end up being your tenant, and now be hair-triggered to make your landlord life miserable.

“A landlord is legally free to set whatever conditions he wants for a tenancy as long as they are reasonably related to his business needs and don’t violate antidiscrimination laws. The Federal Fair Housing Acts (42 U.S. Code § § 3601-3619) prohibit discrimination on the basis of race, color, religion, national origin, gender, age, familial status (having children), and physical or mental disability (including alcoholism and past drug addiction). In addition, many states and cities also prohibit discrimination based on marital status, gender identity, and sexual orientation.”
https://www.nolo.com/legal-encyclopedia/free-books/renters-rights-book/chapter1-2.html

If you hire a property management company, they are going to take the easy money from you, and whatever customer they can get that fills THEIR squares for eligibility. They don’t want the lawsuit feces fest.

Selling gets you free and clear, regardless of the buyer.

[MorpheusParticipant 2177]

Many people consider property, liability rather than an asset.

[Handsome VicParticipant 1613]

I dunno. Why not start by running some numbers.

I'm going my own way. Maybe I'll see you there.

[BeerParticipant 11832]

Anonymous wrote:

If you hire a property management company, they are going to take the easy money from you, and whatever customer they can get that fills THEIR squares for eligibility. They don’t want the lawsuit feces fest.

Yeah you gotta watch it with property managers as well. I was doing my research with rentals a while back and a property manager I talked to told me her fee was the first months rent. All I could think was how stupid that was…she had no incentive to find me a good tenant that was interested in being there a few years…she had all the incentive in the world to just fill the vacancy as fast as possible. If I went through 2 or 3 s~~~ty tenants in a year it just meant more money for her.

[Chris BurnettParticipant 122]

I was in a similar situation a few years back. I opted to sell the house because, well, bitches bitch. Theres a lot of snowflakes who think they don’t have to pay rent or will withhold rent due to some demand they may have. A lot of tenants won’t take care of the house so repairs and maintenance can easily eat up the profit you make. House insurance can be higher on your end if you are renting it also. Not only that, the taxes every year. It boiled down to responsibility to me. Then I asked myself, why do people rent?? Some can’t afford to buy, I get that and I don’t hold it against anybody. Been there myself. Some just need something temporary, again, been there myself. Also, some don’t want the responsibility of ownership. I didn’t have time for somebody to be putting holes in the wall and then turning around withholding the rent and calling me a slumlord. I’m anti-dumb s~~~, and people these days are full of dumb s~~~. I was simply taking the stress free route and avoiding a possible murder charge.

I like math, see: the cost of raising a child > child support payment$ = A bitch getting hit in the face with a reality brick!!

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