Should you sell your primary residence or turn it into a rental property?
There are two main ways for homeowners to get value out of their current properties. First, you can sell the home and get your equity out of it. However, a less conventional strategy is becoming more popular in our area:converting your primary residence into a rental.
How do you do that? Start by deciding if you want to be a landlord or hire a property manager. Then, find out if rentals are allowed in your neighborhood by checking local laws and HOA regulations. We can help you with all of these things when we meet with you to discuss the opportunities.
There are some fantastic pros to converting your primary residence into a rental. For example, there are a lot of tax benefits. One is the depreciation expense, which is an exemption for general wear and tear, and it could make all of your rental income tax-free. Another benefit to rentals is that they build your wealth. You’ll have a steady stream of passive income you can use to invest in other areas. The market is appreciating, so you might be able to make more money from your property than you think.
If you’d like to discuss the topic further and hear all of the pros and cons, don’t hesitate to call or email me. I’d love to talk things over with you and answer your questions.
