When you make the decision to move home, the first thing you think of is that you need to sell your current one. It’s likely that you’ll need the money from the sale to aid you in buying a new home.
Selling is the most popular option – but it’s not the only one. There are some instances in which it actually makes more sense – financially or otherwise – to keep your home and rent it out.
There are lots of factors to consider when choosing between keeping or selling a property – here are just some things to factor into your choice.
When Does it Make Sense to Rent?
There are several different instances in which it makes far more sense to rent your home out than sell it. This includes:
A temporary move – Are you just moving out of the area temporarily? Going away with work for a few years but planning to return? If this is the case, it may actually be cheaper to rent your house out and then move back in when you get back. It gives you the option of returning to the same house.
You know you can make a lot of money – Does your home have a really good chance of being a fantastic rental property? If you’re confident that your property will bring in good money and rise in price, then it may be worth renting it out than selling it.
Do You Need Money to Move?
Sometimes it’s not remotely possible to consider renting your home out – especially if you’re relying on the money to fund your new home. It’s something that should only be considered when you are financially secure. You would probably need to have a lot of equity in your existing home and a good enough income that you’ll be able to mortgage on the new house.
Do You Have The Time?
Becoming a landlord requires a lot of commitment. Essentially, you will be in charge of keeping the house maintained at all times. If there is a problem, your tenants will expect you to fix it quickly and efficiently. Will you be available when they need you to be?
Whatever you choose, you should make sure it’s the right decision for you. We advise you to get advice from a property professional before making any final decisions.
When it comes to buying or letting a property in Birmingham, Belvoir are considered as being market leaders. Whether you’re looking to rent or buy a new home, or rent your existing home out, we will be more than happy to help you out.
For more information please don’t hesitate to contact us on 0121 212 0122 and a member of our team will be happy to help.