Maybe you've found yourself wondering, "what should I do with my extra house?" Perhaps you married, and combining households leaves you with an extra house—or you inherited a property and are now wondering what to do with it. Maybe you're ready to move to a new home, but conditions aren't looking good for selling.
Should you sell it? What if the market is down? What if the market makes some significant gains after you sell, and you could have made more? Deciding to sell a property can be a complicated one with so many variables to consider.
There are, of course, alternative options to selling:
- You can hold the property, but a vacant property invites trouble—and expenses.
- You can rent the property out and earn rental income on it.
How do you choose the best option for you?
Reasons You May Choose to Sell
The real estate market fluctuates, and in a seller's market, you may stand to make significant gains through a property sale. If you have substantial equity in the home and need to liquidate it, this might be a good time to do so as well.
Another reason to sell is immediate financial hardship: if you don't have savings available—and tenant paying rent late would send you cascading into debt—using it as a rental property might not be the best idea. Sometimes, you want to walk away.
There's nothing wrong with wanting to get rid of an extra property—but it is worth considering how much more valuable it could be to you if you turn your Arlington VA home into a rental property.
Reasons You May Choose to Rent it Out
If you're financially stable, there are many great reasons to turn a spare property into a rental. Rental property provides steady, long-term income. Plus, you're not "stuck" with a rental property: you can sell that property—or a whole portfolio—down the line if you're ready to retire.
A buyer's market is a poor time to sell. Turning a property into a rental while the market recovers is a great way to earn income (or take care of the mortgage) without causing you financial hardship. It comes with the additional benefit of still being an asset you can sell down the road, making you money now and in the future. Keep in mind that the next generation of homeowners is choosing to abstain from buying in favor of renting—which makes choosing to rent a secure option.
Another reason to choose to rent out a property is long-term stability. As far as investments go, real estate is a stable option you can trust. Real estate market fluctuations are far less volatile than many other options. Plus, rental income is easily budgeted for: you know what you’ll make each month so you can plan long-term financial goals.
With that kind of stability, it is easy to grow your portfolio and start to build a significant source of income that could eventually lead to pure, passive income. That dream isn't as far out of reach as we sometimes think—starting with just one property can lead to many more open doors down the road.
What's the Right Option for You?
The decision to become a landlord can be a daunting one: to be successful, you either need to learn the tricks of the trade or hire someone who does. Hiring a local Arlington VA property manager is the easiest course of action for a new landlord in the Washington metropolitan area. It's also the choice that experienced investors trust. A property manager in Arlington VA will take care of everything for you—so you don't have to learn through trial and error or hours of research.
What does the typical property manager in Arlington VA do?
- A reliable property manager prepares your property for new tenants.
- Expert property managers create a listing that gets leads.
- Your property management partner also shows your rental home—and manages the applications!
- Property managers choose the most qualified applicants—and screen them.
- They are experts at preparing lease documents, and they oversee the management of the lease.
- Crucially, your property manager will act as a barrier between you and your tenants.
- They manage maintenance and keep an eye on your property's upkeep.
- Your property manager will also handle the renewal or move-out process when a tenant's lease is up.
- Finally, property managers start the cycle over again to get a new tenant in your property—fast!
With the property management software available today, you shouldn't even have to wait for a check. Your rental income will be deposited into your bank account monthly, and you'll have an owner portal where you can manage your statements and view your rental property records.
If this sounds too good to be true, it isn't! The first step is choosing a local property management company in Arlington VA that is happy to work with new landlords. You'll then work together to craft a unique rental analysis for your property. A rental analysis will let you know just how much your home will rent for—so you can budget accordingly.
A great property management company will walk you through the entire process and support you every step of the way. If this sounds like something you are interested in, contact the expert property managers at RentSimple. We would be happy to answer your questions—and get your future as a successful landlord underway!