Leasing and Renting Property

If you need an income to cover carrying costs while your property is on the market, there are two options you can consider - lease and rent. Leasing or renting your property can help you ride out a tough housing market and keep your finances on track.

Leasing

Leasing a home while it’s for sale creates an income that can pay for the expenses and carrying costs of the property. A lease generally involves a written agreement to let the property to a lessee for a fixed period of time which could prove burdensome if you find a buyer before the lease is up. In an over-saturated or slow market, a lease can offer you the peace of mind of having a guaranteed income for a fixed period of time. Many leases come with an option for the lessee to buy the property at the end of the term.

Renting

Rentals offer the same income stream as leases, but for shorter time periods. Rental agreements can be made for rental periods as short as thirty days or as long as one year. This flexibility is helpful if your property is sold quickly but the short terms of the rental can prove problematic should you need to find a new renter every thirty days.