Should I sell and kinda feel like I’m giving up

[Ian Hutton]

I purchased a home for 105k three years ago (now worth 130)  with my dad. We went half on it, we put down 25k together, house rents for 1870. Cash flow of 270 each after pm is paid for. Here’s my problem 

The first tenet we had in this area paid for the first 2 months then stopped, we got him evicted but not until 1 year later then found 11k worth of property damage. (We did get 9 months of back pay though) 

Now we’re on our 2nd tenet. They have been paying in full for 9 months but past 3 months they have been late. This month there 30 days late (they pay biweekly) we’ve received enough to cover mortgage but not full amount yet. But this still means they will be more than lately late for next month. 

Idk I feel like the house data wise and cash flow makes sense, but we’ve had bad tenets and idk if the 3rd will be any better. (Crime wise and average household income in area is good) but still we’ve had bad luck sofar 

If I sell well net maybe around 15k each of course I could save up and use that as a down payment for another house and try again. But idk what to do what do you think? 

[Leo Leiva]

Appreciate you breaking that all down—it actually sounds like you’ve made some smart moves. The numbers on the property still work, but yes, bad tenants can kill a good deal.

A couple thoughts:

1. If you hold, maybe it’s time to tighten up the tenant screening or get a new property manager. Could also look at a cash-out refi if you want to pull some equity and reposition a bit.

2. If you sell, walking away with $15K each isn’t a loss—you can roll that into a cleaner, stronger deal. 

3. Or, we could look at using private capital to help you clean up this one or bridge into your next deal without getting stuck.

Let me know how you’re feeling—I’m happy to help you weigh it out or map out what a next step could look like.