Profile picture for puddin1012

should i sell my house, or lease my house?

Prices are down.  It seems that we should wait until the market starts to go back up.  We can lease the house in the mean time.
  • March 01 2009 - Brentwood
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

Answers (4)

Can you always rent it out so that there is no negative cash flow?  Negative cash flow offset by tax write-offs and expectations thatvalues will increase?

How long have you lived there?  You are not loosing equity you are loosing appreciation, but you have better buying power if you sell it and want to replace it elswhere.
  • March 08 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Contact a competent Realtor from your area.   If you really look at the real estate market, we are nowhere near 1997 levels (where the Dow is today) - much higher, which would indicate that if's not necessarily a bad time to sell.
Think in terms of affordability.  Fewer working folks can afford to buy and build equity today than in '97.  If you plan to buy a hone in your new location, give serious consideration to selling your current home.  Also,
if you check IRS regulations, you'll see that the capital gains exclusion for gains on a personal residence is set to expire.  Most people think of capital gains tax as something directed at "the rich," but think what happens when you sell your biggest asset and that exclusion isn't available.  Unfortunately, there is no indexing for inflation, so you may be liable for capital gains tax if you sell after 2009. (very likely.)  
  • March 02 2009
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for sunnyview
I think it really depends on your equity position and on your local market. Things are likely to be rocky at best in the economy for at least another 18 months in my personal opinion. Interest rates are good now and many banks are tight on credit which benefits solid borrowers with good jobs. It would scare me to death to "straddle" houses in this market though. I think I have read one too many posts from people who have moved into another house without selling the first one. Bottom line I think it really depends on where you live and what your market is like. If you live in markets with good employment, have a strong equity position and can afford some basic vacancy rate if your leased, maybe it would work. I don't think I would feel comfortable buying another house though unless the first one was a strong rental in it's own right. Maybe that makes me too conservative, but I am not a gambler and this market has been very unkind to many folks who are carrying two houses waiting for a turnaround.
  • March 02 2009
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for PrincessVespa
I would also like to have opinions on this subject.  We aren't in a bad situation with our current home, but would really like to take advantage of some of the deals in the current market.  I'm wondering if it makes sense to sell now or just lease the home until prices turn around or at least level out.
  • March 02 2009
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.