Sorry to hear about the job loss situation. I sincerely hope that you would be able to find another source of income soon.

In regards to your question about renting or selling, I just want to add a couple comments to those already provided by the fellow real estate professionals here. Make sure you account for vacancy rates, maintenance and property taxes when you make your calculations. There is always a risk when renting a property that was not intended to be a rental property. There could be damages that you may not be able to recover from the renter.

Many people also fail to calculate a total budget that includes property taxes, insurance, maintenance and vacancy. Take a look at the total cash flow for a whole year at a minimum. Compare that cash flow against selling the house at today's prices. Decide which scenario is best at cutting your loses, or see if you come ahead, or if it improves your cash flow.

There are many variables that are not discussed in your question. You may have to put all these data into a spreadsheet to crunch the numbers with a Realtor, or seek the assistance of a CPA.

Best of luck...

Jessica
I would suggest a heart to heart discussion with your Realtor asap.
Here are some facts:

1. Over-priced properties will not sell.
2. Look at the link below. Just based on this link, the ONLY homes that are going to sell are those that scream BUY ME! If you are a seller that "does not have to sell", then it appears you will be either unable or unwilling to price your home to sell.
3. What are your alternatives? the only people selling homes should be those that have no alternative. There are 248 foreclosures on the market right now, according to Trulia. So if you don't have to sell, do not. Rent it out.

Issues with renting (same thing happened to us in Portland many years ago...but it seems like yesterday:
1. You might need to re-finance if your loan is based on owner-occupancy. Read your docs.
2. In terms of long term thinking, having income property in your investment portfolio is a good idea. However, talk with a CPA about the tax implications both while it is a rental, and at the point when you decide to sell it. Ask these questions NOW!
3. If you look at the short term (3-5 years) values appear to be headed down. If you are looking long term, they are probably going to go up. So look ahead. Meet with a financial planner. This is your chance to really look at your family values and priorities.

Good luck.

Thanks for this ideas...They came fast....Our financial situation is not dire. We lived well beneath our former means and thus our unemployment covers our mortgage, bills, etc. The only issue we have is that it does run out and so far we are not having any luck finding jobs. We also have some savings that has not been dipped into yet and so I think we can continue to make the mortgage until March or April without issue. My dilemma is whether lowering the price, renting, pulling it off the market until the 1st of the year, etc is the best option. It is just overwhelming and a huge financial decision!
Your thoughts are greatly appreciated!

I don't deal with property management, however I can provide a little bit of info for you. The current(year to date) rental market in Marysville looks to be an average rental of a little more than $1300/mo for a 1670sq.ft.home. This is info that is pulled from the MLS(multiple listing service) so anything not reported there may fluctuate those numbers. If you are interested in looking into renting your home, ask your agent if they can assist, if not here is one property managment company that can.

Windermere Property Management/Everett
425-348-7368

Best of luck.

Without knowing the "total" picture of your financial status it's hard to give you good sound advice. This is what I do know. If you are behind on payments and attempting a short sale (I don't know if you are or not) then lower the price until it receives an offer. Time is of the essence on procurring an offer on short sales. If you are not attempting a short sale and you are not behind on payments - still consider lowering the price if at possible. Offer buyer concessions such as closing costs etc. Get creative. Your competition in marysville is foreclosures and short sales! Be sure you are competitive with them both in price and appearance of the home. I'm seeing alot of buyers looking for the deal but when they go to these distressed homes they aren't looking forward to fixing them up either! If yours is in good shape you have one up on the competition - so consider your price daily. How much is it costing you to have it sit there unsold versus lowering the cost and getting an offer today? I know that's not what you want to hear but take this information and look at your competition. Buyers are out there. the market is moving today!
As for renting - I would leave it on the market if at all possible without a renter. Renters have no incentive to show your home to prospective buyers. They have no incentive to keep your home in good shape even off the market. It's not their investment. Your goal is ultimately to sell the house so stay focused on that goal and do what you need to do to reach that goal.
Only you know your financial situation- obviously I'm giving advice without that knowledge. You did say you went through a lay-off so obviously if you need to keep the payments current and you can't do that without a renter then you would naturally need to look at that option. It's not as easy to get a mortgage payment for a home in that price range through renters however.
I hope this helps somewhat, anyway. Keep your communication open with your agent. Their motive should be the same as yours and I'm sure it is. If it isn't then you need to look at that too. Communicate with him/her.
Good Luck!

Great question... there are a few things to consider. The amount for the rent will vary by location, access to I5, condition of the home and the property etc. You may get as much as $1500 / month for rent.
If your mortgage is pretty high and you can't get enough for the rent to cover the entire mortgage payment, are you ok with making up difference? For how long? You will want to balance out how much it will cost to maintain the home as a rental for an extended period of time against what loss you might take by selling the house now. Keep in mind, that to regain the losses we have had in real estate lately, you will most likely have to hold the home for at least 5 years and probably longer.

Hey Jessicag,

First and foremost Im sorry to hear about your current situation. Unfortunately its a situation that many people are facing right now, and much like yourself, there is the possibility of losing their home and more importantly losing more money.

Being from Boston Im not sure what the market is like for rent in your area, however the house sounds gorgeous and I think I can offer some advice to you that is pretty general across the board, regardless of market conditions.

My suggestion would be to rent it out for now with a tennant at will/month to month lease and put it on the market for sale at the same time.

Having it rented will help cover yourself in case your house remains on the market for an extended period of time. Meanwhile some (if not all) of your mortgage will be getting paid by someone else instead of dishing money out of your own pocket. This will help you to save up a bit of money as well as help you get back on your feet. This option is also another way to avoid going into foreclosure on the home.

The tennant at will option will allow you to sell the house and close when you please without worrying about the current tennant's situation. Of course you will need to give the tennant X amount of notification of the pending sale and closing date in order for them to move out. This is something you will determine when you write up the rental lease. Anywhere from 30-60 days notice should be sufficient and fair. Keep in mind this should work the other way as well (i.e. if the tennant is planning to move out, they should give you X amount of notice).

With the home being rented and having an income stream that is paying some or all of your mortgage will allow you to stick as close to your asking price for the home as possible. Your agent will make it clear to buyers that you are not in desperate need to sell, so therefore if they are interested in the home, they will pay for it. In other words...you will have a power position in the negotiations.

I hope this helps and best of luck with whatever you choose to do!
- Nick