Every year, I write a blog post on this topic – Should I Sell Or Rent Out My House? The reason that I write about this every year is that markets change, information changes, and we constantly have to assess the market to answer this question accurately for our clients. Whether you own a home in Odenton, the greater Anne Arundel county area, or the Baltimore metro, we hope this information helps!
So here is what we see in early 2017:
1. Let’s look at the numbers –
What do you owe on your home? What is the market value for rent? What is the market value for sale? Do these numbers work for your financial situation? Every situation, every family is different so we really need to have a confidential conversation with you to discuss your numbers. We have many clients who purchased in 2005-2008 and they still cannot sell. Though renting out your home may not be your ideal choice, don’t worry. Chesapeake Property Management has been in business since 1997 and we will manage your home while you move on with your life. Do not let this property hold you back. Life is too short. 
What is also nice about working with us is that we own Yaffe Real Estate. Linda Yaffe has been a licensed Realtor since 1992 and has sold thousands of homes in the Baltimore area. We know you are a reluctant landlord, so we will vet the tenants thoroughly, make sure your home is maintained and watch the market so that, when the numbers do work, you can transition to our experienced sales team who can sell your home for you quickly and efficiently. Sales and rentals all under one roof, giving you “peace of mind” so that you can move on to the next phase of your life.
2. Market Trends In Your Area-
Maybe you live in an area that is appreciating. You see lots of investment and excitement in your area like Under Armour’s investment in Port Covington or Johns Hopkins’ investment in the surrounding neighborhoods. You are ready to move on but think you may be sitting on an appreciating asset. Great. Keep your home and turn it into an investment property.
As local Baltimoreans, we are excited to see the energy in our home town. We read the headlines, are personally invested and involved in the communities (we are homeowners, landlords and business owners) and we can tell you when we think, based on market trends, that you should keep your home. We are seeing positive investment in many Baltimore City neighborhoods - Canton, Brewer’s Hill, Fells Point, Federal Hill, Locust Point, Otterbein. Exciting things are happening downtown – keep your house and take advantage of it.
Is it scary to be a landlord? Yes…if you hire the wrong property management or have bad tenants. But we are here to vet the tenants, write a detailed lease, educate you on your responsibilities and manage and maintain the home in your absence.
3. Is there a possibility that you might move back to your home?
Maybe you are with the Department of Defense or active duty military at Ft. Meade and you have just been given your assignment. You are moving overseas or across the country and may return to Maryland at some point in the future. Or maybe you are trying out a contract assignment at Google or Facebook in California (Yes, we have lots of clients that do this) and you are not sure how long the contract will last or where you might go next. Keep your house, let us manage it, while you move on and, if you decide to come back, we will make sure that your home is maintained and ready for you to move back into. As we expand our business in Anne Arundel County, we are seeing many of our Ft. Meade clients go abroad and move back to Maryland at the end of their assignment. With our advanced technology and hands on approach, we will update your Landlord portal on a regular basis so that wherever you are, you will feel that you know what is happening with your home. All of our systems are designed to keep you updated no matter your location or your time zone.
4. Do you need to keep your home for a tax write off?
Maybe you are moving on to a new job and will be renting in your new location. We see this all of the time as our clients move to expensive cities. Rent in your new city and keep this home as a tax write off. Our clients earn excellent incomes but don’t want to buy in their new city until their new job becomes more permanent. You need the tax write off. Keep your current home, rent it out, we will take care of everything. When you are settled in your new city, you can buy a home and we can sell this one. No problem.
5. Most importantly, what is your personality and temperament?
No matter the logical discussions in 1-4 above, if being a landlord just does not “feel” right to you, don’t rent it. Sell it. Some people are just not comfortable being landlords. We get it. Don’t apologize for who you are. As good as we are, we cannot take your landlord risk down to zero and, if you are just not comfortable, it is ok. Sell the house, close out this chapter and just move on.
So these are the conversations that I am having right now with clients about selling vs renting. February is the time that many people are making this important decision. Give us a call, send me an email, let’s discuss your personal circumstances so that you can weigh the pros and cons and make the best decision for you and your family. And, as always, there is no pressure, I promise.
