Selling VS Renting a Home in St Cloud, Florida

Real Estate Broker/Owner with Resident Team Realty, LLC & Toni's Property Management LLC BK3055881


Renting or selling my home? This could be quite a difficult decision to make. Do you want to net on the homes equity now? Or wait for it gain more value? In this blog we will cover some basic information on whether to rent or sell your current home in Saint Cloud, FL.

What is Your Financial situation?

Some questions to think about. Does the property have home equity for you to cash in on? Can you afford to pay the mortgage and other expense with the rental income? Will it have positive cash flow? A simple math equation could allow you to figure this out.

Next, consider how much you would profit if you sold the property today versus waiting 1 year and renting. For example, if you could make $100,000 in profit by selling your house and achieve only $1,200 a year by renting for $1,000 per month, that’s a 1.2 percent return on investment. But also take into consideration tax breaks and deductions. Moreover, the IRS will charge taxes on a rental investment income. When selling your home you are protected from capital gains tax up to 250,000 if single or 500,000 if filing jointly married.


For Rent         Becoming a landlord

Are you ready to become a landlord? Not everyone is suited for this. As it requires you to make decisions that directly impact the way of living of someone else. Also, not every tenant will be a great one. Hiring a property manager can help you with this problem but, there is an extra expense. However not only would you not have to deal with the day to day events; a great property manager could save you money and reduce the stress to nothing. 


First off you’ll have to think about the mortgage payment (if you have one). Then these other costs: property Taxes, mortgage insurance premiums (if your down payment is less than 20% of your home’s value), landlord Insurance (cheaper than homeowners’ insurance but still protects the property from hazards). Then you have repairs and replacements which include: windows, doors, walls, carpeting, roofs, and major appliances must be repaired or replaced. Maintenance, after a tenant leaves, includes exterior paint, interior paint, and carpet cleaning. Though it is worth mentioning you won’t have to paint every year.


For Sale             Cashing In Now


Some of the costs associated with selling.You will have to pay for the mortgage for as long as home stays on the market (again only if you have a mortgage on the property). Also utilities must be kept on during this period as well. Landscaping and pool (if applicable) must be maintained. Home sellers pay the listing agent a commission. You can also expect to spend an about 3% of your home’s price on closing cost. Then other cost include credits to the buyer which are a lot more common in this market.


Just remember deciding whether to rent or sell is a choice only you can make the decision after weighing all the options. Remember to consider your financial situation, becoming a landlord, costs to rent, cost to sell.

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Resident Team Realty, LLC is a full service real estate company helping buyers, sellers and investors realize their goals in real estate sales and purchases. We can help you too! Give us a call at 407-483-5534 or email us at 



Comments (2)

Nathan Gesner
American West Realty and Management - Cody, WY
Broker / Property Manager

This is a good list of things to consider when deciding between renting and buying, Mark Horan . Well done!

May 09, 2017 05:41 AM
Roy Kelley
Retired - Gaithersburg, MD

I hope all is going well for you and we will soon see your current posts.

Have an outstanding August.

Aug 09, 2023 11:36 AM