According to Money Magazine and republished by NAR:
Renting Unsold Property May Be a Good Move
Home owners who can’t or don’t want to sell their homes in today’s market but must move should consider renting out the property.Obtaining a professional property manager is a good first step. Professional property managers charge 7 percent to 10 percent of the monthly rent in many areas. Two associations whose members manage small residential properties are National Association of Residential Property Managers and Institute of Real Estate Management. Current rents may not be high enough to cover carrying charges, including mortgage, taxes, and insurance. Nevertheless, renting out the property may still make sense if property values rise in the next few years. Offering a 12-month lease that converts to month-to-month is a good idea, if the owners are considering selling eventually. Include language in the lease that allows a real estate professional to show the home to potential buyers with 24 hours’ notice to tenants.
Source: Money Magazine, Amanda Gengler (07/28/2010)
Source: Money Magazine, Amanda Gengler (07/28/2010)
Of course the timing isn't great for Gainesville as we just finished the rental turnover season. Still the selling season has ended as well and many sellers will now face making the full payments on their vacant homes for at least another eight months until the start of the next season or they can mitigate their losses with a renter in place. About two years ago I posted a blog about why the timing wasn't right for a seller to rent their home. The pendulum has swung and now I'll have to follow up with the top ten reasons why a seller should consider becoming a landlord.
Bosshardt Property Managment is a NARPM and IREM member. We have a standard provision in our lease that allows for showing the property and recourse for the Landlord in case the renter stands up the prospects.
Tiffany Thomas is the Business Devlopment Manager at Bosshardt Property Management. She is solely dedicated to welcoming new clients for either management services or leasing agent only relationships.
For more information about our mangement, accounting, leasing, maintenance and consulting services contact TIffany at the above link or directly at 352-371-2118 ext 447.
