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The number of new apartment approvals has fallen sharply as investors struggle to get bank loans and remain. “When demand gets back onto its feet, you have too few homes being built.” HIA senior.
In this case, you would divide the monthly rent by the price of the property. If monthly rent is $1,200 and the home cost you $110,000, you have a rent/cost ratio of 1.09 percent: $1,200 / $110,000 = 0.0109. It’s best when a tenant is already in place so you know the rent you’re most likely locked into, at least for the existing lease term.
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Whilst you decide if sell and rent back if right for you, there are also several alternative options. Sell your home on the market. Selling your home on the market means you can potentially get more for your home and still look for suitable accommodation in the local area. Sell to national property buying companies
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