How to Keep Costs Low When Renting Your Holly Springs House

The Cost to Rent Your Holly Springs House

Math has never been my favorite subject. But, it comes in really handy for real estate transactions. And that couldn't be more evident than when we look at the numbers behind renting your Holly Springs house.

So, you've decided that you need to rent your Holly Springs house, maybe because selling your house will cost too much. The first question that most of our prospective Holly Springs landlords ask us is, "How much will it cost to rent my house?" Great question! Well, there are certainly some costs to consider, each with their own purpose and benefit. There is the property management fee (may be 7-10% per month in Holly Springs, depending on the company), as well as an Acquisition Fee when the property rents, to cover things like online marketing, showing the property, tenant screenings, etc. (anywhere from 33%-100% of the first month's rent).

But, neither of those costs are nearly as expensive as paying a $1000-1500 mortgage for 3-4 months on an empty house. Now, your Holly Springs rental house has the potential of costing you $3000-6000 before it is even rented, if you take the typical approach to marketing your rental house.

Spend Money to Save Money

Now, don't yell at me, but I'm about to bring up one more cost to renting your Holly Springs house. I know, I know - we've already run up a big bill as it is! But, it is actually a cost that will SAVE you money. "Really?" I know, I said up front that I'm not a math genius, but bear with me - I think you'll agree with the numbers.

First, what is this cost that could save $1000-3000 when it comes time to rent your Holly Springs house? Offering a Premium Realtor® Commission.  Don't stop reading yet. Let's go through the numbers together to see if you agree with my math.

Saving Money and Renting Your Holly Springs House

• A vacant house costs $1000-1500/month for mortgage, taxes, utilities, insurance and upkeep
• A premium Realtor® commission on a Holly Springs rental property may cost $150-250, depending on the house. 
• If an agent is making the choice between showing your house (and receiving $200) vs. showing another house that only offers $25-50, which house do you think that agent will pick, all other aspects of the two houses being relatively the same?
• With a premium Realtor® commission, every real estate agent in Raleigh, Apex, Holly Springs, Morrisville, etc. is now a potential salesperson for your Holly Springs rental house!

Let's be pessimistic and assume that offering a Realtor® commission only rents out your house 30 days faster.

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