You’ll need to weigh the advantages and disadvantages of selling versus renting your property before making a decision. Researching both options thoroughly will assist you in determining the best approach for your situation.

As a homeowner, you have various options regarding your property. Whether you’ve inherited a property but already own another, or you’re considering relocating and unsure about what to do with your current house, this article is designed to help you.

What are the advantages of selling?

If you opt to sell the house, there are several benefits:

It provides a complete break from the property, relieving you of any ties and responsibilities, which can be advantageous for those who prefer to avoid the stresses of homeownership.

Depending on any outstanding mortgage on the property, selling allows you to take the profits and allocate them as you wish.

It’s easy to divide the proceeds among multiple individuals, particularly in cases where the house has been inherited by more than one person.

You can utilise the proceeds to purchase another property, which can be ideal if your current house is unsuitable for your needs, for instance, if it’s located in an unfavourable area or lacks sufficient space for you and your family.

You are not responsible for maintaining the property while it’s occupied by someone else.

However, like any decision, there are also drawbacks to selling the house that you should consider before making a choice to ensure you make the most informed decision possible.

What are the drawbacks of selling?

Over time, there’s a potential for financial loss; properties often appreciate in value and can become more valuable assets.

It can be an emotionally charged period, particularly for those who’ve inherited a family home they grew up in.

You might miss out on a steady, long-term income from renting, which can often support an earlier or more secure retirement.

Selling a house is a protracted and challenging process that can be extremely stressful; additionally, if the house requires improvements, it can also be costly.

What about renting the property?

You have the choice to rent out your property, which might be a favourable option for some homeowners but may not be the optimal decision for others.

The advantages of renting out your property include:

A rental property can generate a steady income stream, supplementing any other sources of income you may have.

There are numerous tax deductions available, providing you with tax benefits such as deductions for travel to and from the property, maintenance and repair expenses, and depreciation.

It’s easy to divide the rental income among any other individuals involved in the property.

You can promptly put the property up for rent, enabling you to start earning income immediately. Selling a house can often take more than six months, during which you’d need to cover expenses, whereas renting it out can cover these costs and generate profit simultaneously.

If the real estate market is not favourable, you can choose to rent out the property until you feel more confident or until the market stabilises, potentially offering you a better selling price.

The drawbacks of renting out your property include:

The property will likely require updates or renovations before it’s suitable for renting.

Depending on your availability and willingness to take on responsibilities, you may need to consider hiring a property management agent, incurring additional costs. In case of emergencies like burst pipes or broken boilers, immediate attention is crucial, and agents may be better equipped to handle such situations as they have established contacts with local engineers.

You will be obligated to pay taxes on profits derived from rental payments.

If tenants cause damage to the property, you’ll be responsible for addressing it. Moreover, in the unfortunate event of having to pursue a court-ordered eviction, you may incur significant financial losses and endure several stressful months.

There are additional obligations to consider if you choose to rent out your house:

You’ll be responsible for repairing both the interior and exterior of the property.

You’ll need to ensure the gas & electrical safety of the property and have it regularly inspected.

Any furnishings must meet fire safety standards.

The house must meet a standard deemed suitable for habitation.

You’ll also have to comply with various landlord laws, such as:

Giving at least 24 hours’ notice before any visits.

Safeguarding your tenant’s deposit in a government-approved scheme.

Providing an Energy Performance Certificate (EPC).

While some homeowners excel at renting out a property, viewing it as an excellent income booster, others may find the responsibilities overwhelming, making selling a more appealing option. If you’ve been pondering whether to sell your home or rent it out, the crucial step is to conduct thorough research to determine the best choice for your circumstances!

Going to a quick sale company

A great option for any homeowner who has asked themselves “how can I sell my house fast?”. Going to a quick sale company is a perfect blend between selling at an auction and selling with an estate agent, offering you the speed and better control on your selling price to ensure that you get the best sale you can.

For some homeowners, even doing all of these steps don’t help you achieve your house sale. Whether you’re in this position, or you simply don’t want to redecorate and deal with staging your house, we can help. Olivia Rose Estates can buy your home in as little as 7 days, leaving you free from the stress and the struggles of selling on the open market. Get in contact today for your free cash offer!