Looking for a way to buy a new home without having to sell your current home first?

Looking for a way to buy a new home without having to sell your current home first?

The sales price on homes in many areas is not projected to increase for at least another year or more. Renting instead of selling can be a good option, as oftentimes you can rent for more than your mortgage payment, which will cover additional repair costs and a higher insurance rate. The change in rents since 2005 have increased on average 11%, while the change in home prices since 2005 have decreased on average 30% according to a recent article in Money Magazine. It may also take you less than a month to find a tenant, where it may take 6 months or more to find a buyer.

Here is a good way to screen for applicants. First of all, you can go to ezlandlordforms.com and find a rental application. When qualifying applicants, you should look for applicants whose income is at least 3 times the rental payment. Ask for a copy of their pay stubs to make sure. The length of time with their current employer should be at least 6 months, preferably a year. Don't be afraid to call the employer to validate their work history. Ask for the social security number of all applicants. You can run a credit check on the applicants through either e-renter.com or youcheckcredit.com for about $25. Find out the previous living conditions of each applicant, and call any former landlords to find out if there were any problems. Hopefully these recommendations will help if you choose to rent your current home.

If you are wanting to move from your currrent home, another option to consider may be renting it instead of selling.

I would recommend you check with your tax accountant or an attorney, as renting your home will have tax implications.