"Should I rent out the house OR sell it ?" Asked the Prospective Seller

Boy, you guys are thorough & you have to do literally a 'guesstimate' for the future on a few things in order to know what's good for you.

Hi Sally we dread getting that question when we know we can sell it!

This is an incredibly well-balanced post to a question which is posed often. I like this line, "there will always be something newer for a buyer to choose to call home. "

You did not mention whether the seller would be making a profit on the sale. When counseling a seller this issue should be brought up.

Rental property here is scarce, even knowing a tenant can do damage, our rents more that cover the expenses.

A couple of other points:  does the seller have an apptitude for playing "landlord", and are they located near what could be their new investment property?  

A lot of folks who thought, no big deal I will rent out the home, now wish they could retract that thought.

Good blog.

Jim Miner in Phoenix AZ.

I would discourage homeowners from renting their home if they are out of state unless they have someone local that will be managing the property for them and checking up on things in person.  Too often little problems and repairs get ignored until they become big ones and big ones are usually expensive ones to correct.  If they can sell at a profit, seems to me that would be preferable.

I like to start with the clients goal and work backwards to determine the best coure of action to achieve their goals..it make the home owner responsible for their own decision

Sally and David, these are all valid points.  Many in Dallas are choosing to purchase properties to lease and hold with the assistance of quality property manager.

Many people think of renting without understanding the process.  Not everyone is cut out for it.

It is great that your clients can have the luxury of the choice to make. Often, crunching the numbers will determine which option will work out for the owners best financial interest! Over here, there is a General excise tax levied on Gross rental income to be paid. When you add property tax, mortgage, insurance, GET, property management fee, the rental option might not be very attractive!

Renting vs selling really depends on the owners situation along with the market performance. In our area newer homes command a higher price tag usually.

Sally & David,

I hope your prospective client appreciates your thoroughness, I know I do. Great post!

Being an Absentee Landlord is not something that most people are cut out for. Sell it and enjoy yourself.