We’ve been over this, before, but it’s worth repeating:
If you have your property up for sale, and it won’t sell, lower the price.
Oh, wait, there’s another option (if you can wing it, financially).
Rent out your current property, instead.
The Herald ran a story about this, a couple days ago:
Real estate agents say that with the sales market cooling but the rental market picking up, more and more sellers who canâ€™t line up buyers are deciding to look for tenants instead.
â€œI can find a tenant to pay $1,500 a month for a one-bedroom Boston condo with my eyes closed,â€? said Ryleâ€™s agent, John Ford of Ford Realty Inc. â€œIf someone has a mortgage below $2,500 or even $3,500 a month, they can cover that through renting and move on with their lives.â€?
Sellers say receiving rent beats accepting low-ball offers or carrying two mortgages (one for a new place and one for an old one that just wonâ€™t sell).
There are some serious things to consider, as the Herald’s Jerry Kronenberg points out.
There are a couple points that seem most important to me.
First, obviously, you might not be abel to do this. I mean, most people need to sell their current home in order to make the down payment on their new home. This is especially true because most people are trading up from their current home to a larger, and/or more expensive home, so they need the profit from their current home’s sale, even more.
Second, do you really want to be a landlord?
Third, be very attentive to what the condo rule are where you currently live. When we lived at Court Square Press, there was a rule that each and every unit had to be owner-occupied for five of each seven years, or something like that, meaning you couldn’t rent out your unit forever. This was so that it didn’t become a “rental” building. So, read the condo docs, carefully. Last thing you want is, two or three years from now, some nosey neighbor in your old condo complex brings up the issue at a condo meeting, and you end up screwed.
More information: Itâ€™s the lease you can do: Canâ€™t sell a place? Consider renting it instead – By Jerry Kronenberg, The Boston Herald