5 Tips to Turn Your Residence in to a Rental and Buy Another

Don Simkovich, MA
So Cal Live Work Play
4 min readMay 14, 2018

--

Leveraged wisely, your home is a stepping stone to financial gain

If the house you live in has plenty of equity and your neighborhood appeals to renters, then renting your home while living in another house may make financial sense. Learn the factors that will make the venture successful.

Knowing your reason for making the move is mission-critical. Your residence may be too large or small, or you want to delve into real estate investing using the equity in your existing home.

Understanding how to make it work so you can cover expenses and realize financial profit is the dollars and cents step. Strong emotional ties may connect you to your current address and you want to keep it in the family. Or you can let it appreciate and then sell it to cover future money needs. But if the cost of owning two homes cannot work then it is best to not move forward.

Know Your Why

Welcome to the world of real estate entrepreneurship. Renting out your existing home while buying a new one is both a personal financial decision and a business decision. You become a landlord, even if you’re renting to someone you know.

In Southern California, renting out a single family home in most neighborhoods from San Diego to Los Angeles can generate from $2,200 a month to nearly $4,000 a month. That’s a substantial part-time income using…

--

--

Don Simkovich, MA
So Cal Live Work Play

Don is co-author of the Tom Stone Detective novels on Amazon and writes content for businesses. Visit Don Simkovich Amazon.