Should you sell your Brookline condo or rent it out and keep it as an income-producing asset?
You’ve finally made the decision. It’s time to sell your condo in Brookline. But as you start to look into the process and figure out what it’ll take, you realize that there are other options available to you. You could rent out your condo instead of selling it. And there are a lot of advantages to doing so. So, should you rent out your condo instead of selling it?
There are pros and cons to renting vs selling, but ultimately, the decision comes down to what’s best for your individual situation. MerGo Property Management works with Condo owners all over the Boston metro area, many of them own single condos, and are not professional landlords. They look to MerGo to take care of the process of renting out and managing their property – making their condo a passive income-producing asset.
Let’s take a closer look at both options to help you make the best decision.
The Pros of Renting Your Condo: There are a few reasons why renting out your condo might be a better option than selling it, including:
1. You’ll have a more stable and predictable income stream and continue to build equity while also making a return on the money you have invested.
2. You can write off many things when you are renting your property to a tenant, so there are some significant tax benefits to owning a rental property also.
3. You can still use your condo when you want or need to. If you ever needed to move back to your condo, you could do that. Always nice to have that flexibility.
4. You may be able to get a higher rent than what you would make from the sale of your condo. No telling what the future holds but the Boston Metro area is considered to be a very stable market compared to other national metropolitan areas. This means that even if we go into a recession, real estate values are likely to stay high and should continue to increase in the future.
5. If you have a lower interest rate, it might be better to keep that debt. During inflationary times with rising interest rates, there are many benefits to keeping investments with low annual debt.
The Cons of Renting Your Condo: Of course, there are also some drawbacks to renting out your Brookline condo that you should consider before making a decision, such as:
1. You’ll be responsible for repairing and maintaining the property.
2. You could end up with problem tenants who don’t take care of your property or pay their rent on time. But hiring MerGo Property Management would ensure you would not need to deal with this =)
3. You may not be able to get the same price for rent as you would if you sold your condo outright. But in the long run, you will likely be able to sell the property for more 10-20 years down the line.
Ultimately, the decision of whether to sell or rent comes down to what makes the most financial sense for you in the long run. If you need to generate income right away, then selling is probably your best bet. But if you’re looking for a more stable stream of income, then renting could be the way to go. Working with MerGo Property Management on the management of your Brookline or Boston Metro area condo will be a great way to increase your income stream and build wealth. Let us handle the leg work so you can have a passive income-producing asset!
If you want to get in contact with someone from our team about how we can help you with the entire process of renting out your condo give us a call!