Photo by Pietro Tebaldi on Unsplash
Renting a home is an idea that many people will either entertain or will undertake in their lifetime. While owning a home is on many people’s bucket lists, renting sometimes gets a bad rap. Here, we’d like to look at the positive sides of renting a home.
If you’re new to an area, renting a home can give you a chance to try out the neighborhood and location. Most rental agreements have a set start and end date, so your experiment with the new city or neighborhood has a finite term. If you love the city and neighborhood, you can continue to rent in the area until you’re ready to either move on or buy a home and settle down.
Many people rush into buying a home as soon as they can, only to feel dissatisfied a few years later. Maybe their family grew and now they’re forced to move or make major renovations to expand their home. Or maybe they were offered a great new job somewhere else but are now hesitant to give up their home. Renting a home gives you flexibility to change your housing situation relatively quickly when unexpected life changes happen.
Renting a home means having a maintenance staff that’s on hand for any issues. Many rental agreements will have a real estate agent or a property manager that oversees the property and is available to troubleshoot problems with plumbing, electricity, or heating and air conditioning units. If there are problems, the solution is typically a phone call away.
If you’re on the other side of the rental agreement and you own the home, renting can make great passive income. Typically your real estate agent will help you navigate the process and only take out a minimal fee. Many people use the money from their renters to pay the mortgage on their home and then reinvest the extra into upgrades and maintenance for the rental home or for other projects.
Renting out a home you own will help build up more equity than selling the home. If your property is well cared for, by both the renters and the real estate company, you’ll have a secondary home that is paying for itself—through rental fees—and accruing equity that is added to your real estate portfolio. Accruing equity can help you buy more property and add real estate to your portfolio.
Renting a home can help both parties involved. If you’re thinking about renting out the home that you own or renting a home to live in around the Western Sydney area, call on Bricks & Mortar Real Estate. The trained agents on the team will help guide you through whichever side of the rental process you’re on.