Owning rental properties can be a great investment, but from what we’ve seen working with landlords across Minnesota, it often becomes much more complicated than expected. Many of the landlords we’ve encountered—especially in the Twin Cities and the surrounding suburbs—find themselves in situations where managing their properties takes a toll on both their time and finances.

From our experience, here are five common signs that suggest it might be time for a landlord to consider selling their rental property.

1. The Property Is Costing More Than It’s Earning

We’ve talked to many landlords who, at first, thought their rental properties would be a steady source of income. But over time, the unexpected expenses can pile up. Between rising property taxes, costly repairs, and tenants not paying rent, some landlords end up covering more out-of-pocket costs than they’re making in profit. In places like Crystal, we’ve seen these rising costs combined with Minnesota’s tenant laws, which make evictions challenging and slow. For these landlords, it can feel like their property is no longer a source of income but rather a financial burden.

2. Problem Tenants Are Draining Your Energy

Dealing with tenants can be one of the most draining parts of being a landlord. We’ve seen a lot of situations where tenants become the primary issue—late rent payments, property damage, or disputes over maintenance. Even worse, some landlords find themselves stuck with tenants who know how to delay the eviction process, making it feel like a never-ending cycle. If managing tenants starts feeling like a full-time job without the payoff, it’s something we’ve seen many landlords consider as a sign to move on.

3. Repairs Keep Adding Up

The maintenance challenges of owning rental properties are real, and we’ve come across plenty of landlords who find themselves overwhelmed by the constant repairs. Minnesota’s harsh winters don’t help—frozen pipes, ice dams, and snow-related damage can be a real drain. We’ve worked with landlords who started with manageable issues, but over time, they found themselves facing major repairs like replacing roofs, furnaces, or plumbing systems, which were more expensive than anticipated. For these landlords, the thought of sinking more money into repairs without a clear return led them to consider selling.

4. Burnout From the Constant Demands

Landlord burnout is something we hear about often. The stress of dealing with tenant issues, repairs, and keeping up with legal requirements can quickly take its toll. We’ve worked with landlords who, after years of dealing with the grind, find themselves exhausted and ready to walk away. When you’re no longer enjoying the process and it’s negatively impacting your well-being, it can be a strong indicator that it’s time to rethink whether being a landlord is worth it.

5. New Opportunities Are on the Horizon

Sometimes, the decision to sell comes down to something bigger. We’ve seen landlords who simply want to move on to something else—whether it’s a different investment opportunity, a career change, or just a desire for less stress. Life changes can lead to a shift in priorities, and selling a rental property can be the way to free up resources for new ventures. In these cases, the decision to sell isn’t always driven by negative experiences, but rather a desire to move forward.

---------

Molly Ancel and Jerry Anderson are Minnesota-based real estate investors helping homeowners overcome financial challenges with flexible solutions. Former business professionals, they now focus on empowering families and strengthening communities. Learn about how they help at peerpointmn.com.