The property market isn't great, but you do have options. You can either rent out your house to a tenant or sell your home privately or through an estate agent for fair market value. Subject to the availability of sufficient equity, you may even prefer to sell it to a property cash buyer to achieve a quick sale. Whether you should sell or rent out your home depends heavily upon your personal circumstances and the state of the property or rental market in your local area.
Rent Out Your House When Underwater With Negative Equity
You may want to sell your house, but don't want to be left with a deficiency. Provided that the lender is agreeable, you could arrange a short sale but this will result in a lower credit score. Rather than affecting your credit worthiness, consider renting out your home until house prices start to recover. You could then move to a more affordable home or live with family until property prices are high enough to enable you to sell. In the interim, the rental income can be used to pay your mortgage.
