From Dow Jones & Company:

Tom and his family are looking to relocate from Seattle and are considering renting out their current home while renting in their new location for a year. They have a four-bedroom home with a mortgage payment of $3,800 and an interest rate of 1.9% APR. With a household income of $400,000, they are contemplating renting their Seattle home for $3,500 and absorbing the $9,000 per year shortfall to keep their low mortgage rate. They are seeking advice on whether to rent out their home or sell, taking into account their long-term goals and the potential costs and benefits.

To make the most out of their current home in Seattle, Tom and his family are contemplating renting their property out for a year before selling. They are considering the potential costs and benefits of becoming landlords, including dealing with out-of-state tenants and any potential damages to the property. Their dilemma is not uncommon, as their real estate agent advises weighing lifestyle considerations against potential investment gains. However, they are advised to give themselves a fixed time period before making a final decision about renting out their home.



Read more: I have a house with a mortgage rate of 1.9%, but I’m moving over 2,000 miles away. Should I rent or sell?