Buying/Selling Real Estate in Loveland and Fort Collins Colorado
Hey guys,
My brother lives in Fort Collins, CO. He is moving to Loveland, CO for his job. He currently owns his house (5 BR, 3 BA) in Fort Collins that he has about $100,000 of equity in from his payments and appreciation over the past 5 years.
He wants a rental, but owning a rental in Loveland makes more sense to him because he will be living there. However, he is not sure if it is a good idea to sell his house in Fort Collins to buy a nice house in Loveland and another house to rent out in Loveland.
Does anybody have any advice for my brother??
I do not know how good the rental markets are in Loveland or Fort Collins, but I do know that property values are very high in Colorado right now. So I didn't think it would be a good idea for him to sell right now.
To me, it makes more sense for him to rent out his house in Fort Collins (not sure how well a 5 BR, 3 BA on the edge of town will rent) and then take out a home equity loan to use as a down payment on a new house in Loveland. Then, when prices come down, buy another rental in Loveland.
Thanks for any suggestions!