The rental market is finally cooling across the USA, with the vacancy rate soaring to 5.5% from the record 2.5% low of 2022. This gives renters a lot more options when choosing their next home.
One of the choices you may come across during your accommodation search is a choice between for rent by owner homes and professionally managed ones.
Read on to explore why you should or shouldn't opt for renting a house directly from a homeowner.
The Benefits of For Rent By Owner Homes
There are two main reasons why landlords opt to rent their homes without the assistance of a property manager. These are:
- Higher rental income
- More personalized relationships with tenants
These benefits often spill over to renters in the form of lower rents and direct access to your landlord, rather than working through an intermediary. Some of the other pros include:
Flexibility and Variety
When apartment shopping, you'll find a greater variety of choices available from private landlords. These may include tiny homes, ADUs, and garage apartments.
A private landlord may offer you greater flexibility in your lease agreement, such as an unconventional lease time frame or the ability to keep a pet.
Ease and Affordability
Private landlords must screen their tenants, but they're more likely to be flexible when it comes to things like your credit record and income requirements.
They're more willing to help you by lowering your rent if you're prepared to take on tasks like routine maintenance or lawn care yourself.
If you're renting a garden cottage or stand-alone home, you'll enjoy more privacy than when staying in an apartment block, too.
Cons of Renting from a Private Landlord
If you're renting space in an attached ADU, you might feel that your landlord is a little too close for comfort at times.
Private landlords have many additional responsibilities aside from managing their rentals. This means you may experience delayed responses when it comes to maintenance requests, and they may not always be well-informed about your rights as a tenant, either.
That's why most landlords opt to hire a professional property management company to oversee their rental property.
Professionally Managed Property Pros
It's much easier to find a professionally managed home for rent than it is to track down a private rental. These apartments, townhomes, and condos are also likely to offer more onsite amenities than private rentals.
When you rent via a property management company, you're assured of prompt responses to your requests and queries. You can also rest assured that all maintenance is carried out by professional teams.
Find Your Perfect Fit
Despite the benefits, the 'for rent by owner' option involves a lot of hard work for investment property owners. Difficult tenants, ongoing maintenance requests, and routine property inspections can eat into your time, causing stress.
Penny Realty Inc. can assist you with all types of property management. We have years of experience in managing short- and long-term home and condo rentals, as well as commercial properties.
Find your dream home today, or get in touch to discuss how we can help you manage your San Diego investment property.
