Would-be sellers turn to renting when their homes don’t sell

Tanya Culton has been trying to sell her home in Rowlett, Texas, since January.

But so far, no takers.  And she’s already bought and moved into another larger home in Frisco.

“I really didn’t think it would take that long, but it did and that’s because of the market.  I really believe that’s because of the market,“ says Culton.

Now stuck with two mortgages, Culton is trying to rent this house, joining the ranks of accidental landlords across the country.  People who had no intention of being landlords, but have to out of necessity.

Renting is an option for homeowners stuck in a house they can’t afford.  Or for those who can’t sell the home they have.

Property owners say there are potential pitfalls, but can help some people keep their homes.

Property manager Cary Efurd says, “The benefit is that somebody is helping you pay most of the rent every month, and if you’re taking money out of your own pocket that’s your money going back into your own house, so you’re building equity into the home.“

When Alex Valdez got married, he and his wife both needed a place convenient to both their jobs.  They were scared to death about being landlords, but decided it was the best decision for now.

“The market is not in a place where we can sell our house and make what we need to make off the sale, so we have to hold on to it at this point,“ says Valdez.

Valdez says his experience has been good, so far.

“We are actually saving money by leasing our house.  We save on utilities, drive time, gasoline,“ he says.

Experts say first timers should not expect the rent they get to cover their mortgage, but for some, staying out of foreclosure is good enough.

Alex Valdez says it was worth it to hire a property management company.

They can help you find a tenant and then handle the day to day duties like collecting rent, scheduling repairs, and handling evictions.