Deciding whether to rent or sell your home can be a tough choice. If you’re facing this decision, creating scenarios where both options are beneficial can help you feel like you can’t lose. Here’s how I tackled this dilemma:
Initially, I leaned on fate to guide my decision, especially when unexpected events popped up. For example, my tenants handed in their notice just before a business trip to Europe, leaving me without a leasing manager and uncertain whether to find new renters or sell the property.
So, I developed a plan to let fate decide while ensuring both outcomes would work in my favor. The strategy was simple: I’d rent out my property if I could secure a tenant willing to pay at least $4,100 a month, up from the previous $3,995. Alternatively, I’d sell if I could get at least $1,065,000 for it, factoring in expenses to clear a net million.
During the rental listing period, I tried starting high at $4,395 but had to adjust downwards after several showings but no offers. Meanwhile, my real estate agent prepared to sell, listing the property for $1.2 million, which we later reduced to $1.15 million after finding no takers.
The turning point came when rental demand surged. I found a couple ready to commit at $4,195 per month, who were not only financially stable but genuinely excited about the place. It’s rewarding to see tenants happy about their potential new home—it makes the decision to rent feel right.
On the flip side, selling the property was less about the money and more about the hassle and risks associated with a large lump sum. The thought of potentially squandering the proceeds on poor investments or luxury items made me cautious.
In the end, the choice was clear. The new tenants moved in, and the property continued to generate a steady income, reinforcing my belief in holding onto real estate for long-term gains. Plus, managing the property wasn’t a big deal—spending a few hours a year on it compared to the passive income it generated seemed like a no-brainer.
This approach to the rent or sell question—a dual strategy allowing for both outcomes—ensured I’d be content no matter the result. It’s a method I’d recommend to anyone struggling with a similar decision.
