So, let's look at this conundrum from the three significant perspectives; first, the Agent's Perspective:
- It's a tough market out here. We have 14 months of inventory here in Toms River and none of my listings are selling, so why can't I make a few bucks renting it for them?
Yes, it is a tough market and discretionary sellers who are still in denial over the market value of their home are only making it tougher! The potential return on investment for "spot rentals" is NOT worth the time, aggravation and liability involved. Are we NOT fooling ourselves into thinking we're busy, and thinking we're making money, instead of staying FOCUSED on our goals and the true value of our TIME?
Next, let's look at the "Bewildered One", the perspective of today's Accidental Landlord:
- "I'm not giving my house away! Maybe I'll just rent it until the market changes and then sell it? I don't have to sell!
If you don't have to sell, do EVERYONE and this country a service and take your home off the market! These "sellers" are half the reason we have 14 months of inventory in Toms River, NJ. Just be aware; because of all the "tightened standards" in the mortgage industry, your pool of tenants consists of those who DON'T have good enough credit to get a mortgage OR; those who just lost their home to FORECLOSURE or took a SHORT SALE! Have you read NJ's TRUTH IN RENTING handbook?
And last but certainly not least; my humble opinion as the Broker/Owner:
- It is a tough market out there and my agents are frustrated and discouraged. It is my RESPONSIBILITY to support, encourage and help them make money! Should I be looking at alternate sources of revenue?
Absolutely. But RENTALS are NOT a viable, sustainable source of revenue in our market! There are buyers who understand what a GREAT TIME it is to buy and sellers who have to sell. We must stay FOCUSED on helping today's First Time Buyer achieve the American Dream and we must be SELECTIVE and assist only those Sellers who need to sell! To compromise on this commitment would be IRRESPONSIBLE.