Is 2025 a good time to sell your rental in MD? Take a look at this guide.
Whether you have one rental, two hundred, or a thousand, being a landlord can be a great business for those who love the work and understand it well. Landlords must keep up with the local real estate market to understand local rent prices and the cost of housing. Is now a good time to sell your rental? Take these principles with you as you decide from month to month.
The Best Time to Sell Your Rental
The Cost Is Greater Than the Returns
A huge reason that landlords decide to sell their rentals is that the cost to rent it out becomes greater than the returns. When landlords are facing costs from maintenance, tenant turnovers, and other expensive events, a rental can become a money pit rather than a profitable source of passive income. Maintenance costs alone can swallow up thousands quickly.
The Local Market Is Crashing
While you might be able to gain some insights about the real estate market nationally, what applies to you will be very local. Seasoned real estate investors already know that local real estate market conditions are the most applicable to your real estate investing decisions. If you see the local real estate prices crashing and you are paying a much higher mortgage, then selling is a possible way out.
Changing Real Estate Investing Goals
The local real estate market might be doing well, but you might have discovered that being a landlord, even with a property manager, is not the career or side hustle for you. You also might be someone deciding to sell or rent out your home; it’s best to understand a landlord’s responsibilities as much as possible before you decide.
Alternatives to Selling Your Rental
Selling your rental property might make the most sense in your case. With it comes taxes on your profits, but it is possible to recoup those costs with favorable interest rates. If you are open to keeping the property, you can consider these alternatives:
- Moving into the property
- Reinvest with a 1031 exchange
- Refinancing your rental
Clagett Enterprises in Frederick, Maryland, is happy to help guide you professionally through the process of selling your rental and other options.
Trust the Professionals at Clagett Enterprises for Your Realty Needs
If you’re looking for an experienced property management company, the perfect realtor for your property, or a professional to assist you during your purchase of any home, you can rely on Clagett Enterprises. Clagett Enterprises is a full-service real estate company with almost 30 years of experience in the Frederick and Western Maryland area. For assistance with commercial sales, leasing, management, and development and consulting, contact us online or give us a call at 301-665-6009. To meet our team and see some of our beautiful homes, follow us on Facebook and Linkedin.