HELP PLEASE!! Sell or Rent???

[Chauna Caudill]

Im a newbie and I have property that I owe $116,000 on its 2,214 sq ft.

I have a 2.75 fixed interest rate paying $860 a month in a good neighborhood. The median is about $190,000

May need $15,000 in repairs

I’ve been offered $220,000

I see property my size renting for $1,800 a month max.

Should I sell or should I do a HELOC for repairs and rent it out to a tenant for $1,560 a month?

My cash on cash return would be 12%

Or is there a better option than the two??

THANK YOU IN ADVANCE BP COMMUNITY!!!!!

[Keri Carpenter]

I personally would take on the HELOC and purchase the duplex with it. I now have 10 properties that I've collected over 15 years and that's how I did it over the years. The numbers on the rental look fine if you're paying $860ish and can get $1500. You should be fine. I never sell and just buy more while I'll still young and hungry.