Lately we have been getting quite a few calls from homeowners who have been notified by their employers that they are scaling back or shutting down their Phoenix operations. This leaves homeowners with equity in a quandry. Should they sell at the current market price and barely break even, or in some cases, bring money to the table at closing OR should they hang on to their house and rent it out?
Obviously, circumstances vary from homeowner to homeowner. Being an out of state landlord can supply a nice flow of cash...if the rent adequately covers the mortgage payment and HOA dues, etc. But, if you are waiting for prices to return to the '05 prices, you will need to rent your property for a very long time. (i.e. at least 10-15 years)
It is best to look at the real estate market you are moving to and see how prices are there. If you sell your AZ property at a slight loss, but are able to pick up a great bargain in your new locale, then it may be worth bringing a few dollars to the closing.
Also some owners do not have the temperament to be a landlord. If you are the type that is bothered by a scuff on the wall or a few leaves in the yard, then you will probably be an agitated landlord. And, some things are just not worth the aggravation.
We are finding that the majority of those relocating are moving to Washington State and Oregon. In this case, the grass is greener where it actually takes minimal effort to grow.
