Thread: Buy a house, sell after a year?

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I am a real estate agent in Jacksonville NC so I think that I can help shed some light on your situation. It may not make sense to purchase a home only to sell in a year. Even though it makes much more sense to purchase a home, it may not always be the best thing. Saying that, why would you sell it in a year, you could hang on to it as rental property. Make sure that before you buy you know the rental rates of the area and make sure they can cover your cost associated with the mortgage payment (Interest and Taxes) along with minor wear and tear maintenance. Another reason to hold onto the property is that in order to be eligable for the first time home buyers credit, you must own the home for 3 years or you will have to pay it back. Being a former Marine I know what you and your husband are going thru but I also know that he could be here a lot longer then a year. You know very well by now I am sure that plans can change. Here in Jacksonville it is a great place to purchase a home and the price you pay on your mortgage could be less then you would pay in rent for the same place. Weight your options and make sure you have all the facts before you move forward. Try talking to a tax advisor on the problems you will face after only owning the home for one year, also try an attorney to get legal advise on the matter. I am a real estate professional so I cannot comment on taxes and legal matters, but I would think it through. I encourage everyone to make home ownership theirs, especially when the year over year equity increase in our homes averages out about 4.9%. I would be happy to answer any more questions that you may have or direct you to other professionals who may be able to assist you. You can also visit my website and gather more information on home buying from there. Purchasing a home is a very big, life changing event. You hire a real estate agent to use their education and experience to guide you every step of the way. Best of all, you get the services at no cost to you. Let me know if I can help you at all, questions are always welcome.
Robert Smith
Century 21 American Properties, Inc.
910-382-0282
robert.smith2@century21.com
century21lejeune.com

Friends of mine are active military (NAVY) and they purchased a house in South Carolina. When he was transferred to Norfolk, he managed to rent the house to another Naval Officer. They're paying a property manager to handle the property, but so far they're covering their debt service and are happy with the arrangement.

Obviously you'd have to crunch some numbers, determine what your mortgage would be, what potential rent would be, carrying costs associated with average vacancy periods, management costs, etc. If the numbers work, and you have some wiggle room, you may want to consider a similar arrangement. If you can cover the debt service, have your tenant amortize the loan, and hold it for an extended period of time- you could be sitting pretty in 10-15 years.

Yaps that's always difficult to imagine about the property prices trend in the future because it is changing market all the time.... Anyways wish you good luck..

For Heavens sake, DON'T BUY!

in 12 months, Sellers fees & costs would drown you, the market is unstable and if you're only talking about one year, then renting won't kill you. If there is a potential gain for one year of ownership, it won't be much compared to the potential loss.

Also, buying a home that becomes a rental is only a benefit to the realtor & property manager trying to feed his family. UNLESS, it happens to be in an area where there is a shortage of good rental properties that has high rent values and low costs.

Taking on the burden of being a homeowner and/or a landlord in an area that you will only be living for 1 year may not be the best option. Being a landlord isn't for everyone neither is home ownership. You can always hire a property management company, but that is another ball of wax.

You have to think down the road long term on this one and really consider ALL of the pros and cons.

Who knows at the end of the day buying could be a viable option...but, without good research from agents who aren't starving you're likely to be posting in a year about how to do a short-sale!

hello,

I agree a 100% with Boiserealestatesoup...he hit the point.

Don't buy...I see no possible benefit to you...the only prayer you would have to even break even if you have to move would be to rent...then you get the 4 T's (( toilets, trash, termites, and TENANTS ))...who want's that if you dont have to...

just be patient and wait to buy when you are positive you'll be there for a minimum of 3-5 years.

keep in mind...this market will be the way it is or worse for another 2-3 years...not the time to buy if you are possibly moving.

good luck

I think it actually depends on the property. I'm picking up about 20 properties a week and about half of those have equity built into it and I can sell them the next day for profit. Also, if you wanted to cashflow it by renting it out, that would be another reason to go ahead and buy.

If you're buying at fair market value with no intention of renting it out, then I agree with everyone else. I'm just so adverse to paying someone else rent! lol