Are you among those who became "accidental" landlords when you got transferred for work or had to move for personal reasons and was unable to sell your home? With the economy picking-up, it is high time to consider home selling.
But you know how challenging home selling is as it is; what more if you are far away? Who's going to prep the house, who will deal with the tenants, and how are you going to find the best real estate agent for the job?
The following are home selling tips on selling a home far away according to Zillow:
Make sure you've lived in the home for at least two of the past five years
If you have made the property you primary residence for at least two of the last five years, the federal government could allow you to sell your home without having to pay taxes on the first $250,000 in gain if you are single or $500,000 if you are married.
Not a lot of people are aware of this requirement, or plan for it, and they end up with taxable gain. Some don't account for timing and end up trying to meet the deadline by home selling "under the gun".
If you want to avail of this tax break instead of getting taxed for an investment property, you have to make that sale within the appropriate window.
Get a good agent on board early
A smart remote seller will get a solid agent with feet on the street - someone who can provide local resource, can field late night calls for leaky faucets, or mediate tenant issues. This is why it is important to get yourself a good local agent before going away or the soonest time you visit the area. You need to solidify the relationship (do it in person) before you even think about home selling. By then, selling will be as easy as picking up the phone and requesting your good agent to execute the listing.
Stay on top of the home's market
Even if you are away, you can still check the market and follow similar-sized homes for sale in your area and keep an eye on their listing. Aside from keeping constant communication with your agent, you also want to keep a search open at all times and look out for one or two comparable sales that sold on the right price - that could motivate you to take action.
Take care of your tenants
Moving is undoubtedly a disrupting process, and your tenants would appreciate if you could give them a heads-up of your home selling plan. To avoid problems, let your tenant know of your long-term plan which includes the possibility of selling the property; include that in the rental agreement and specify that tenants are expected to cooperate for showings.
