Tough markets call for tough decisions.  Many of our sellers are considering renting out their home instead of selling it for today’s low prices.  Generally we find more negatives than positives for those who decide to rent.

1.  Our market won’t rebound for several years.   Prices won’t improve for a long time so most sellers are just delaying the inevitable.

2.  Following tenant occupation the clean up and rehab may cost more  than the loss a seller was hoping to avoid.

3.  Rental inventory is enormous - therefore rental rates are low.  In many cases an owner won’t be able to cover his mortgage, taxes and insurance with rental income.  Not to mention vacancy periods and inevitable repairs and replacements.

4.  Does an owner really want to deal with the risk of carrying this property through  4-5 more hurricane seasons?

This can be a lose-lose situation and each case has its own variables.    Some sellers are not in a position to even make these difficult choices.   If this “rent vs sell” is a decision you are facing just be sure to weigh in all factors and look at the long-term picture.   Sometimes it’s just better to cut and run.