There’s always an option to have a condo unit rented out to others when you don’t live there or plan not to use it in the foreseeable future. However, the question is that if you should always keep that option open or decide that it’s better off unoccupied. Here are five considerations you can think about to get some guidance.
For Passive Income
One of the biggest reasons why condo owners rent out their units is passive income. They receive a monthly stipend as rent for expenses or investments. The logic behind this is that the condo becomes an asset that generates money, instead of being left unoccupied.
If You Don’t Need to Live in the Condo Yet
For some reason you or your family aren’t able to move into the condo yet, you can in the meantime have somebody else live in. Depending on the situation or circumstance, you can have your son or daughter who’s studying in college move in or a relative who can maintain the unit.
Location and Demand Potential
For condos like Watten House that have high demand potential, renting it out will be the most likely choice. You can enjoy a higher passive income and have the luxury of choosing the tenant. Demand for condominiums at good locations is always high.
May Be Exhaustive or Time-Consuming
Of course, managing a condo rental isn’t entirely passive. You will need to deal with possible complaints and maintenance concerns from tenants, and sometimes you will have to travel or hire another person to do this. There’s also the matter of payment, arranging a contract, and other obligations.
Don’t Forget Maintenance Costs and Repairs
Part of the money you get from the monthly rent will have to be allocated to maintaining or fixing your condo unit.
Angela Spearman is a journalist at EzineMark who enjoys writing about the latest trending technology and business news.