The Benefits of Keeping Your Old Home: Riding the Real Estate Wave

Deciding what to do with your current home when moving can be a strenous task, especially with the thriving rental markets across the United States. Homeowners, particularly those who are financially well-off, often face the dilemma of whether to sell or rent their property. In this blog, we'll explore the merits of holding onto your old home as a rental property, considering both the emotional and financial aspects of this decision.

Embracing the Rental Market: While making this choice, it's essential to remember that it's not merely a matter of crunching numbers. An emotional conversation is necessary to evaluate the desire to become a landlord, along with weighing the risks and rewards associated with each option.

Overcoming the Challenges: While being a landlord comes with responsibilities and challenges, don't be discouraged. One effective solution to alleviate the burdens is to engage a property management company. Although this won't eliminate all potential headaches or the risk of vacancies in any market, it can significantly ease the burden and provide you with peace of mind.

Thriving Rental Markets: Certain regions are experiencing robust rental markets, making renting out your old property a particularly attractive choice. Many individuals opt to retain their luxury properties as rentals when relocating. With low mortgage rates of 3% or 4%, rental income can easily cover the mortgage payments, making this an appealing option. While short-term rentals are a possibility, the growing mandatory fees have led homeowners to prefer long-term renters.

Flourishing Luxury Markets: The Tampa, Sarasota, and St. Petersburg areas in Florida are experiencing high demand and low supply in the luxury real estate sector, both for rentals and sales. Selling properties at excellent prices is certainly an option, but there is a noteworthy influx of professional athletes and millionaires from other states who are relocating to the area or seeking second homes. Many of these individuals prefer to rent before committing to a purchase, thereby creating lucrative opportunities for homeowners in these markets.

Considering Market Conditions: Undoubtedly, most homeowners prefer the simplicity of selling their property and moving on, especially if they can secure a favorable price. Liane Jamason advises condo owners to consult their real estate agents to determine the availability of rental and sale units in their communities. If there is an oversupply of rental units, obtaining the desired rental income may prove challenging. In such cases, selling might be the more advantageous route to take.

Carefully weigh selling or renting your old home during relocation. Selling brings closure and financial gains, while renting thrives in certain markets. Consider emotional fulfillment and financial rewards to strike the right balance. Seek advice, evaluate markets, and embrace rental market opportunities for real estate success.

Hello! I'm Jay Thomas, a REALTOR in Houston, Texas. Chances are you and I share a similar passion, Real Estate! I also have a passion for building businesses, working out, inspiring others, technology, sports, and people. Connect with me on Facebook and Instagram!