but if u rent it out...that income goes towards ur mortgage payment...basically ur tenants are paying ur mortgage...sounds like a good deal to me...no?
Well there are many factors that come in like how much rent you can get on that property, maintenance cost, is the property really suitable for rent, what kind of tenants you will get, what if they decide to leave before the lease is over, time it takes you to find the tenant, etc etc.. So you have to keep everything in consideration. Like our home is on sale for almost a year. For last few months we were thinking of renting it out but lot of people discouraged us. There are two houses in our community that are up for rent for almost 7 months now and nothing seems to be happening with them. So renting out is not an easy process either.
So in a situation like Jia i would suggest her to sit with the broker and some home manager and discuss various options and they should see what they think is best for them in this situation.
i understand what u are saying?....but why not sell the house (if u absolutely have to sell it) when the market gets better....when it becomes more of a sellers market? you'll get a better return on your investment.
anyone I truly believe in keeping real estate (especially land).....when it's paid off....you are making money in your pocket without any effort or hardwork. It can also be passed down to your children.
I am assuming that you need the equity from the current property in order to buy the additional property.
If you wait for prices to rise before selling your property then you will have to pay a lot more money for your new purchase as well, because that would have gone up as well. Therefore I do not see you as benefitting overall.
I am assuming that you need the equity from the current property in order to buy the additional property.
If you wait for prices to rise before selling your property then you will have to pay a lot more money for your new purchase as well, because that would have gone up as well. Therefore I do not see you as benefitting overall.
with real estate you nvr benefit from the short term...it's always about the long term.
with real estate you nvr benefit from the short term...it's always about the long term.
Any fool can benefit from real estate in the long run so long as they own some real estate:D . For professional investors they also need to benefit from it in the short term.
If I didnt outright own the home, and didnt have enough savings to put money into to it when renters have issues with things or if I needed to fly out there sometimes to deal with things, I'd sell it.
You have to look at the pros and cons on both sides, which I am sure you are aware of.
Now, regarding the whole market thing. The house we used to live in was on sale for an entire year, maybe two, I dont recall now. We initially wanted a certain price for it. Then we raised our expectations to another price altogether. Then we finally decided if it went for a price between those two, that would be quite reasonable, despite the market being in a slumber.
People kept telling us its a buyers market, blah blah. Eventually someone bought it for a very reasonable price Alhumdulillah.
We also thought of renting it out, but as we were moving to another place it would have been difficult. One of our former neighbors ran a property management business and they used to tell us about the issues they face, and their properties were in the same city. Our other neighbor was a broker and she owned several properties in the same city and neighboring city and she also had issues. You really have to have the flexibility to deal with emergency situations, from speaking with these individuals. That's why I'd probably only do it if I lived nearby.
The real estate market is gowing down so we will not get the money which we spend, so we decide to rent our house and move in a rental apartment. I hope Insha-Allah the things going better soon aameen.