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Why lease your home today in Atlanta/Sandy Springs?

A lot of folks I've met are not really interested in leasing their homes. I certainly appreciate why that would be. It seems that they are worried about getting their homes back in good condition that they can sell at a later point. Also, a number of prospective landlords are not really sure how to be a landlord and what would be involved.

There are a couple of good reasons to lease and house out. These include:

  • 1. You've moved out of town and it's empty
  • 2. You've bought a great new home, thinking the first home would sell quickly
  • 3. You sold your house, but took back a mortgage for the new owners, and they have defaulted, deeding the property back to you.
  • 4. You have a new job opportunity that will take you out of the country for a few years on assignment and then you'll be returning to your home.
  • 5. Your house is only getting low offers and you have the financial stability to keep it a while and sell when the market is better.

    All of those are excellent reasons to rent. We have especially found that a number of these are happening now more than ever. If you have a home for sale that is sitting empty, it's costing you the monthly mortgage payment, insurance, property taxes, and utilities. In a good number of cases a rental will at least alleviate a majority, if not all of those expenses.

    In the case where the rental leaves the cash flow picture a little short each month, but you are in a good financial position to sustain the property, a rental is still much smarter than having a vacant home listed for a year and paying all those costs. I wish I had a crystal ball that told me when the market would turn to a sellers market or more in balance. However, since there are other opportunities to depreciate your property when it is a rental, this might even offset your "losses". Please seek the advice of an accountant to determine if you are able to depreciate your rental property.

    Also, meet with a qualified leasing agent to determine if leasing is a viable option for you. It is important to share all the information with a leasing agent to see if this makes sense. For instance, if you are behind with your mortgage payments and at risk of being foreclosed on, leasing is NOT a good option. Verify that the agent is familiar with leasing, and not just getting into this part of the business now because sales are slow. Also, check to see if the agent offers property management as an alternative to you managing the property. Obviously, if you are out of town a couple states or continents away, you will need someone to help you, property management company or trusted friend or family member.

    One of the curious things we've run into is some listing agents are not willing to broach leasing with you, as they feel like the commission is so much lower, they don't want to do this. Tim Francis Realty is happy to lease out properties for our clients if it works for them. In many instances, we are the ones who suggest it, when we feel it's in our clients' best interests. It's up to you whether this works for you or not, but it might be a good option to consider. Good luck!

    • Posted Tuesday Oct 27