Join Date: Dec 2003
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Renting your home while cruising...advice?
Hey again Stacey- There is one more bad bit of news when renting out the house. In most states you will lose your homestead exemption. That means your property tax may be a little higher than before. If I remember correctly, if you live in your house on Jan 1, you still get the exemption for that year, and it would be lost the following year. We live in Florida, it most likely is different in other states.
The hard part is keeping track of all the expenses you can deduct. We ended up going with a realtor(for 10%!). It took a good chunk of the kitty, but we have had no problems or headaches since renting almost two years ago. While it is rented is also the time to replace anything you have been putting off, i.e.; refrigerator, furnace,...because you can deduct the expense. We are going to replace the long neglected carpet just before moving back in(not too soon before!).