realtybizideas banner

Is It Better To Sell Or Rent An Inherited Property In Milwaukee?

Inherited Property In Milwaukee

Inheriting a house is a rollercoaster of emotions. On the one hand, you’re feeling sad that a loved one is no longer around. On the other hand, you’re feeling overwhelmed that they have left you a thoughtful legacy.

Figuring out what to do with the inherited property depends on the condition of the home and your personal situation. If the house is old and is in dire need of costly repairs, selling it might be the best option. On the other hand, if you attach sentimental value to the property, then you can consider living in it or renting it out for a while.

This guide compares the pros and cons of selling and renting an inherited property in Milwaukee. Continue reading to find the best choice for your personal situation.

Should I Rent An Inherited Property In Milwaukee?

Before you decide to rent out the home, make sure to crunch the numbers and check if being a landlord is profitable and feasible in the long run. Here are a few factors that can help in influencing your decision:

  • The 1% Rule: As per this rule, a property is considered an excellent choice to rent out if it produces 1% of the purchase price as rental income every month. If the property doesn’t fetch 1%, then it isn’t generating actual rental income, especially when you consider all other expenses like repairs, maintenance and vacancies.
  • Your Location: If you reside in another city or state, then it becomes difficult to manage a rental property long-distance. You may have to appoint a property manager to handle the tenants and other issues, further adding to your expenses.
  • Property’s Location: If the property is located in a vacation spot or metropolitan area with high rental demand, then you can consider renting it out on long-term contracts or short-term contracts via apps like Airbnb.

Should I Sell An Inherited Property In Milwaukee?

Selling an inherited property takes a weight off your shoulders as you don’t have to bother with landlord duties. Here are a few factors to consider if you decide to sell an inherited property:

  • Sell to Cash Buyers: If you’re looking to make a quick sale, selling it for cash is the best choice. Look for cash buyers advertising, “We buy houses in Milwaukee” to sell your house quickly and without any repairs. Cash buyers purchase your home in any condition, even if it’s rundown or distressed. This helps you complete the transaction quickly and get on with other things in your life.
  • Get Quotes from Multiple Cash Buyers: This gives you an idea of the home’s current value and gives you negotiating power. Compare the cash offers and choose the buyer who gives you a fair deal.
  • Sell Via a Real Estate Agent: Alternatively, you can also sell the house via a realtor. However, keep in mind that this option is time-consuming and expensive as you have to first fix the property to bring it up to market standards. Also, you’ll have to pay 5% to 6% of the selling price as agent commissions, which can shrink your profits significantly.

To Sell Or Rent: Which Is Better?

Ultimately, what you do with the inherited house in Milwaukee depends on your personal situation. If there are multiple heirs, then selling the property and sharing the dividends among the inheritors is the easiest way out. On the other hand, if you have a sentimental attachment to the property, you can consider renting it out to keep it in the family. Whatever be your decision, make sure to run the numbers and consider your personal situation to arrive at the right choice.