So very, very often, homeowners thinking of selling their Lethbridge home will say to the REALTOR®, “If I can’t get my price, I’ll rent it out.” At which point I stop the conversation and ask them if they are prepared for what that role entails and the likely outcomes if they are not prepared to fully commit to the responsibilities of being a landlord.
Sadly, the vast majority of the time, the homeowner ends up with a devalued property when they finally decide to sell after years of tenants living in it. Most of the time, one or more of the following have happened during the tenancy:
- The tenants have allowed the property to fall into serious disrepair.
- The landlord has not conducted regular inspections of or visits to the property.
- The market has done the property owner no favours. (Lethbridge market is generally flat.)
- The tenants do not want to move and are not motivated to ensure the house is marketable.
- Surprise! The tenants cannot buy the home as planned at the beginning of the tenancy.
Bottom line: tenants do not share your motivation for maintaining and increasing a property’s value.
Watch below to learn more about why deciding to rent out your former primary residence may not be a good idea.