You’ve probably known someone it’s happened to—they listed a house on the market, and it sat there. No offers. No sale. There are numerous reasons why a house might linger on the market. One of the most common issues is that sellers price their properties too high. They base their list price on emotion rather than comparative analyses and other relevant data. A seller might also have trouble moving South Carolina real estate off the market if his or her house needs repairs.
If you’re facing similar circumstances, there may be options available that you haven’t considered, such as removing your house from the sales market and renting it out, instead. Renting property isn’t usually a permanent living status. It’s temporary. Think of it this way: You could work on making the repairs or resolving whatever issues are keeping your house from selling while generating income from your tenants.
Weigh the pros and cons of renting out South Carolina real estate
We just mentioned one of the benefits of converting a home sale that has stalled on the market to a rental property. However, it’s also important to consider some of the downsides that may accompany this decision. If you rent out your house, you become a landlord. Being a landlord can be quite stressful. You might want to work with a rental property management company, which removes a lot of the tenant-related responsibilities from your shoulders.
Do you need the net profit from a home sale to buy another house?
If your ability to put a down payment on a new home hinges on the sale of your current home, then temporarily renting out the house might not be the most viable option. In such a case, it might be better to work with an experienced real estate agent to determine why your house isn’t selling. You can then take steps to rectify the problem and keep it on the market. Perhaps you just need to lower the price.
On the other hand, if the rent you will generate from tenants is sufficient to meet your needs in placing an offer on another house, then you can choose between renting it out or keeping it on the market for sale.
Are high interest rates keeping buyers away?
Sometimes, the South Carolina real estate market slows, as is the case in the industry throughout the country. Issues such as high interest rates or lack of inventory may keep buyers away. It’s good to know that you have options available in a slow market. Renting out your house until interest rates come down might be something you’ll want to consider.
Talk to an experienced real estate team. They can assess your situation and provide much needed guidance, support and recommendations to help you achieve your goals.