I moved out of Bloomington last year and I have a tenant at my property right now. The lease will be ending

Asked by Senthil Somasundaram, Bloomington, IL Fri Feb 6, 2009

on May 2008. Is this year be the better year for selling the house or rent it for one or two years and then sell it.

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6
Stephen Stev…, Agent, Bloomington, IL
Fri Feb 20, 2009
Great answers so far. Senthil, you didn't mention the price range of your home and if your receiving enough rent to cover all your expenses with the home here. Also do you need to sell this home to buy another without being over extended. If the rent is covering allthe expenses and your still able to buy another home where your at, I'd suggest renting the home till the economy improves. You also have to realize that you bought the home last year and your closing costs will eat up any profit you may make. Or you may sell this home for less than you paid and still have closing costs. The rule of thumb here is you need to live in home for at least three years to realize a profit.

We were never a bubble market. So home appreciated about 2-3% a year. That said, we have also seen a depreciation of prices in some price ranges of homes. Such as the homes in the excutive range have seen a 10-15% price decline the last twelve months. Hope this answers your question. If not feel free to call me.
1 vote
Dallas Texas, Agent, Dallas, TN
Sat Feb 7, 2009
Determine your short / long term goals of home, confer with CPA for tax advantages.

You could search for lease option purchase for a tenant.

Work with real estate agent assist on market value, days on market etc.
Web Reference:  http://www.lynn911.com
1 vote
Greg Zavitz, Agent, Bloomington, IL
Fri Feb 6, 2009
Sir,
It would depend on what you need. Do you need the profits from the sale to buy where you are at now? If not then decide if the tenant landlord experience is working out, if everything is fine and it cash flows, it would be ok to keep it a rental. The biggest worry would be if the next tenant did not treat the property well and you get stuck with damages or worse yet a tenant that does not pay. I think the market will continue to improve in the Bloomington area and prices will increase at 3-4 % in the next few years so if you are comfertsbe with the current situation then great. As for the best sales time it is usualy the spring thru fall so if you want to list and sell give me a call. I would be happy take a look and tell what the market value is.
Web Reference:  http://www.Zavitz.com
1 vote
The Hagley G…, Agent, Pleasanton, CA
Fri Feb 6, 2009
Do you have positive cash flow by renting it? Talk to a Realtor, get a price opinion, and see what makes to most sense finacially. If you have positive cash flow, I would consider holding on to it.
Web Reference:  http://www.cindihagley.com
1 vote
Greg Zavitz, Agent, Bloomington, IL
Thu Feb 26, 2009
Senthil,

Thanks for the additional info, I now understand your motivation better. My advise still remains the same as my previous post. Talk to a local Bloomington Normal Real Estate agent or two and fine someone who you feel comfortable with. I would suggest you ask the following question...

1. How long have they been marketing/selling real estate? (myself 23 years)

2. Does the company they work for sell the most homes in the area? (Coldwell Banker sells approx. 40% of the homes sold in Bloomington Normal)

3. Does that agent rank at the top of their company for number of homes sold every year? (I am consistently at or near the top of Coldwell Bankers 100 local agents for # of homes sold per year with 60-70 sales)

4. Does the agent you hire have an licensed asst. and other part time help to facilitate weekly checking of the property, follow up with showings, communication with you the client? (I do)

5. Does the Realtor spend enough on internet advertising to attract buyers for your home? (Goggle or Yahoo - Greg Zavitz, or Bloomington or Normal Illinios with most any Real Estate term and see if gregzavitz.com or BloomingtonNormalHomes.info or both don't show up multiple times on the 1st page)

BTW I will be in Chicago this weekend and if there is any way to meet up and discuss your needs and options, I can try to make it happen. Let me know.

Thanks,

Greg Zavitz
Realtor-Coldwell Banker
Bloomington Normal Illinois
309-275-4734
Web Reference:  http://www.zavitz.com
0 votes
Senthil Soma…, Home Seller, Bloomington, IL
Thu Feb 26, 2009
Thanks a lot.

Please accept my appologies for not posting reply immediately. Here is more information about me and my property.

Do you have positive cash flow by renting it?

Yes, I have enough cash in reserve and making more than enough money for living.


where you are at now?
I currently live in Chicago and not sure about my job relocation. It is easy for me to travel when I am in Chicago. I might have to move somewhere (may be California or Florida or any other state) in next couple of months. It might become difficult to coordinate selling or renting once I move out of here.

I am planning to go back to India in 3 or 4 years. I need to sell this house before I leave from US.


I am currently working with a realotor to check the market condition and see whether I can sell this year or not.

I bought the home for 167K(+3K for additional kitchen cabinets) and Price range of the home is 170K+. My rental income covers the ongoing expenses associated with the property (Mortgage payment + property tax + home insurance) so theoretically I could wait if I need to. Assuming that I am not paying 10% of my rent every month and not paying any commission for hiring a local property management service.

My Home address is 17 Ashling Ct, Bloomington, IL - 61704.

Please let me know if any more information is needed to help me.

Again Thanks a lot for all your help and advice.
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