Hello everyone. I am contemplating a real estate decision. I bought a home in apr 2011 as my first home. I am trying to find out pros and cons of selling and renting it. I bought for 144000 and owe about 128000. It's now comparable to around 250-260! At the height it sold in 2006 for 357 so I know it can't get too much better. Rent is about 1400 estimated and mortgage is 1100any help and suggestions would help a lot. Thank you
If you have lived in the home for 2 of the last five years, which it sounds like you have, then you will pay not tax on the profit if you sell. which means you could clear something over 100k after all your selling costs. That's pretty awesome, IMO. I would sell in a heartbeat. The $300/mo that you would get from rent would be eaten up by repairs, etc and is a lousy return anyway. Sell it!
i would sell the return of 1400 per month rent for a 260k investment is a very bad return in my opinion.
thank you guys for the response so far. I'm pretty much sold on selling it but wanted to get another perspective. Appreciate it
I agree with the decision to sell. Ideally market rents will follow right behind the home's appreciation, but hopefully you can do better with that equity elsewhere. Congratulations and good luck.