As an active Realtor servicing the Danbury area, I often meet with clients that are thinking of moving. Because of a move, it would require the sale of their property or becoming a landlord.They often ask if they should sell their property now; or keep it and rent it out for a couple of years. Each option has their own positive and negative options.
Selling is the easiest way to get rid of the property which no longer suites your needs. We would market your Danbury,Connecticut areas condo to qualified buyers. Through the work of a proven marketing plan, we get several qualified buyers through the door into see you home. We would negotiate the offer, the buyer does the building inspection, applies for their mortgage, contracts are signed, appraisal is done, loan is approved and then you move out and close. When you sell,the remaining balance on your mortgage & closing costs are paid for from the buyer and anything on top of the cost to that, you would receive a check for the difference. You would sign the deed and other paperwork ,hand over the keys, and the property is transferred to the buyer and sold.For some sellers, they may not have the ability to contribute the necessary funds available to pay of their mortgage & closing costs if their is a difference or they don't have the time to wait for a closing (typically happens about 2 months after the offer was accepted).
Renting your condo in Danbury gives you immediate cash flow every month. Your tenant should be paying their rent on time every month. As the owner, you are still responsible for your mortgage payment, monthly association dues and annual property taxes. Your tenant would be responsible for their own utility bills. With renting, I advise clients budget for vacancies, cost to turnover the unit to get it ready for the new tenant (cleaning, any painting, etc) and upgrades down the road for mechanical systems and applicances. Most tenants to treat their residence fine, but there is no guarantee, despite checking references and credit,if the tenant will be a success. However, you do collect a security deposit up before the tenant moves in. In Connecticut, the written lease does stay with the property, which for example means if you sell your property on May 10, 2016 and the written lease is up September 1,2017, you can not kick the tenants out. It is also more difficult to get a mortgage a new home that you buy if you already have a mortgage on your current house.I can provide to prospective landlords an estimate of what how much monthly rent your property can get. With renting, owners can wait out the market if you feel the current value is too low or use the time to pay down their mortgage to build equity, but there is no guarantee on the future values or how the tenant will treat your property.
It is your decision on how you wish to proceed. if you are not sure which is the best option for your situation, please request a confidential market analysis for a sales price or a rental price below. In some cases, I've advised owners to put up to for sale and for rent, and go with whatever the strongest option is based on how the market reacts. I am here to help-I look forward to hearing from you.
Page last updated 6/8/2018