The rental market remains robust. Rents are at a record high and there is not enough inventory to meet the needs of tenants.
Here are reasons to consider offering renting rather than selling:
- Interest rates: The Fed increases in interest rates have put the brakes on the housing market with homes taking much longer to sell. Despite a higher sales inventory many buyers have left the market opting to wait until rates are more affordable.
- Increase tax deductions against paying taxes: Renting out that second home allows someone to increase tax deductions. Some of those that could be claimed on a rental property include property taxes, insurance, mortgage interest, repairs and maintenance, utilities, HOA fees, travel to and from the property, management fees and property depreciation over the applicable life and class of the property. On the contrary, if you sell the home, taxes become payable on capital gains. Please check with your tax advisor, who will recommend what is best in your circumstances. To do research on your own, refer to IRS Publication 527. You also don’t want to lose money by selling when the market is down. It is likely that the rent you can get for your house is higher than your mortgage, HOA dues and expenses for upkeep. Listing the house as a rental could buy you some time and allow your home value to increase.
- Access to Quality Property Management: Most people do not want the headache of dealing with tenants. Crest Premier Property Management Team will gladly walk you through the process and handle all aspects of the rental operation. We will ensure that your property remains fully occupied while earning more rental income from your investment.
Contact us if you’re trying to decide between renting and selling.
Crest Premier Property Management Team offers management services that keep your property fully occupied, while earning more rental income from your investment.
This sponsored content was first published in the October edition of InMaricopa magazine.