Becoming a landlord for some people is an easy decision, it?s something they?ve always contemplated and researched thoroughly. For others it?s not such a snap decision but it may economically be the best solution.
In our current economic climate many people are finding themselves stuck with a home that is worth a lot less than what they paid or the current mortgage. In some situations the residents can?t afford their mortgage payments and are being forced to move into a much cheaper rental. In both of these situations renting your home may be the best decision as you can recoup some money while waiting for the market to turn.
If you think that becoming a landlord is for you there are some things you have to weigh carefully before jumping in. One of them is can you accept someone else living in a place you once thought of as home. When you sell a house this is a consideration but the feeling goes away after you?ve separated from the home. When you rent your home this feeling lingers and is very difficult for some people to overcome.
The other consideration is can you treat this as a business venture with all of the implications associated with it. There are legal implications involved in being a landlord and decisions should be made without emotion. You?ll also need to know the basics of being a landlord or you?ll want to hire a property management company.
And then you?ll have to recalculate the financial implications to make sure it?s a feasible choice for you and won?t cause you any more financial hardships.