If your home contract is about to expire and no one has purchased your house yet, you may want to consider doing something else with your house. If a house will not sell, there are other options. Here are three options you could consider as you try to decide what to do with your home.
Rent It Out
Renting a house is always an option if you own your house, and there are pros and cons to this method. The main benefit you have with renting a house out is that you can have a tenant who pays the mortgage payment for you. The tenant does not do this directly, though, and you will have to keep the mortgage on the property; however, you can charge the tenant an amount that covers your mortgage payment, insurance, and taxes.
If you rent the house long enough, the rental payments you receive might be enough to pay off the remaining balance on your mortgage. When this happens, you will own the house and all the rental payments you collect will be income for you.
There are some cons to renting your house though, and one of them is that it makes you a landlord. You will be responsible to find good tenants for your home, collect rental payments, and handle all the repairs and maintenance. This can work out great if you find a good tenant, but it can be very hard if you end up with a tenant that isn't paying the rent and that is destroying your home. You should always perform background checks on tenants before choosing one.
Sell It On Contract
A second option is to sell your home on contract. This method also requires you to keep the mortgage in your own name, but it is slightly different than renting the house you own. When you sell a house on contract, the person that moves in is called the buyer, and the buyer is responsible for paying you a monthly payment and taking care of all repairs and maintenance. The buyer will become responsible for everything in the house; you will simply act as a mortgage lender to the person.
People that buy homes on contract typically do so because they cannot qualify for a mortgage at the time. They may have low credit scores, or they may not have a lot of money to put down on the house.
One key benefit of selling a house on contract is that you can require a down payment. If the buyer defaults on the payments, you can keep the down payment and foreclose on the house. This would give you possession of the home once again, and you could then sell the house on contract to someone else, or you could sell it outright. The choice would be yours.
Choose A Different Real Estate Company
If you do not want to mess around with renting the house or selling it on contract, you could always relist the home with a real estate agency. If the first agent you hired did not find a buyer, you could choose a different agent. You will have to wait until the contract expires with the first agency though. In some cases, hiring a different company to sell your home can turn out to be a successful and effective method to use.
Selling your house can take time, and it may even require making some modifications to the home, but you may have a better chance of selling it if you hire an experienced real estate agent to help you. To learn more, contact a real estate agency, such as EXIT Lakes Realty Premier, today.