Thinking of selling my townhouse...seeking advice

Thinking of selling my townhouse...seeking advice

Member since 2020 · 6 posts · 5 votes

Hi all! I bought a 2BR 2BA townhouse in 2021. Great neighborhood and schools in South Jersey, close to Philly. Finished basement, decent condition. Great interest rate of less than 3%. However, the property was a rental for numerous years and turned out it needed LOTS of attention. Not a money pit, but for me, a single parent working full time job, it's pretty close. So many things broke or needed repair within the first year or so: refrigerator, microwave, dirty carpets ripped up and subfloor repaired, AC compressor, electric panel updated, section of the roof repaired, leaky kitchen faucet, garbage disposal, other kitchen updates...Anyway, I went through just about ALL of my additional savings for these repairs and there are definitely more that need to be done. I'm thinking of selling since the value has gone up and I stand to make about $90,000 in proceeds (after fees and realtor commission). I'm about 6 years until retirement and would love to pay off credit cards and put some in my retirement fund but I've been hedging the decision. Everyone I know says don't sell. I don't want to rent since I would still have any repair headaches.  I would love some advice from the community on what they think. Thanks for your input.  

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  • Lender · Saddle Brook, NJ · Member since 2023 · 431 posts · 231 votes
    3y

    If it's a headache you don't want, sell it. That's it. It sounds as if it's a headache you don't want. So sell it. My advice is to wait until the summer, if you can, when more buyers are in the market, thus making higher sales prices more possible.

  • Theresa HarrisPro Member
    Member since 2019 · 15k+ posts · 11k+ votes
    3y

    If you sold it, would you buy another place?  Also where it is located? Some markets slow down in the fall and winter, and you'd get more money for it in spring or early summer.

  • Member since 2020 · 6 posts · 5 votes
    3y

    Thank you Ryan And Theresa for your responses. If I sold, I would not buy immediately. I would rent until my daughter is done with high school - just less than 2 years - and then I hope to buy buildable land for a small home for retirement...or a small home already built. Hopefully NJ but not sure where right now. My Townhouse is in Marlton NJ, border of Mt. Laurel. I spoke to a local realtor this weekend and he said this area, and especially townhouses, are still selling well. The last one in my development sold this July in 11 days. He did say selling before it gets colder would be good timing. I could hang on until Spring but I'm afraid I may have another costly repair issue and I just can't afford it without taking a home equity loan, which I don't want to do.

  • Member since 2020 · 6 posts · 5 votes
    3y

    Oh and did I mention my mortgage is assume-able? Don't know if that makes a difference...

  • Alan AsriantsBusiness Member
    Real Estate Agent · Philadelphia, PA · Member since 2019 · 1k+ posts · 1k+ votes
    3y

    Hey Linda, I am an investor and agent in NJ and PA. If you want, we can schedule a time to do a walk through of the property and discuss your options. Without seeing the property, and knowing what else needs to be done, I cannot give you my best recommendation.

    Let me know if you need help, I'd be glad to connect. I am in the area

    Alan Asriants - New Century Real Estate 592 Reviews
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  • Rental Property Investor · Philadelphia, PA · Member since 2015 · 483 posts · 362 votes
    3y

    @Linda Salavarria  I messaged you privately

  • Robert EllisBusiness Member
    Developer · Miami, FL · Member since 2014 · 3k+ posts · 1k+ votes
    3y
    Quote from @Linda Salavarria:

    Hi all! I bought a 2BR 2BA townhouse in 2021. Great neighborhood and schools in South Jersey, close to Philly. Finished basement, decent condition. Great interest rate of less than 3%. However, the property was a rental for numerous years and turned out it needed LOTS of attention. Not a money pit, but for me, a single parent working full time job, it's pretty close. So many things broke or needed repair within the first year or so: refrigerator, microwave, dirty carpets ripped up and subfloor repaired, AC compressor, electric panel updated, section of the roof repaired, leaky kitchen faucet, garbage disposal, other kitchen updates...Anyway, I went through just about ALL of my additional savings for these repairs and there are definitely more that need to be done. I'm thinking of selling since the value has gone up and I stand to make about $90,000 in proceeds (after fees and realtor commission). I'm about 6 years until retirement and would love to pay off credit cards and put some in my retirement fund but I've been hedging the decision. Everyone I know says don't sell. I don't want to rent since I would still have any repair headaches.  I would love some advice from the community on what they think. Thanks for your input.  


     It sounds like you've put a lot of effort into maintaining your property, and it's great that you've seen an increase in its value. Given your proximity to retirement and the desire to pay off debts and bolster your retirement fund, selling could indeed be a strategic move. However, it's important to weigh the emotional attachment to your home and the potential for future market appreciation against your current financial goals. Consulting with a financial advisor or real estate professional can help you make a well-informed decision. Ultimately, the choice is yours, and it should align with your long-term financial plan and personal comfort. Best of luck with your decision!

  • Colleen F.Pro Member
    Investor · Narragansett, RI · Member since 2013 · 8k+ posts · 4k+ votes
    3y

    @Linda Salavarria  I would weigh selling against your rental costs if you want to stay two years in the district you are in. Is that profit going to be decreased significantly? Are rentals available?  If you sell in the spring and it is one year of HS I doubt it makes a big difference but you should look at what you would be spending and availability since you probably want to be in the same town for your family. (although some towns will allow seniors to stay in district regardless).  Anything you buy is going to be at a much higher interest as it stands right now but that assumable mortgage is a big sell point should you choose to sell.   

  • Member since 2020 · 6 posts · 5 votes
    2y

    Hi All, Thanks for all the responses. I decided to sell and the house sold in a week - cash offer! I had to find a rental and pack up in 30 days. Rental is affordable and smaller. I'm able to go through stuff I don't need.

    My next dream is to buy a tiny house for AirBNB use and then use it for my own retirement in a few years. I'm now looking for a park, campground or rental land to place the house once it is built. This idea makes me feel optimistic for an affordable retirement and excited to be able to manage a smaller space in the future. If anyone has any ideas of where I can park a 24 ft tiny home in NJ or surrounding areas, please let me know. Thanks!

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