Inherited a house in WU Houston. Rent it or Sell it?

Question

My aunt left me an old house in WU. I live overseas and can’t make up my mind on what’s best. Sell or rent it. Sell to buy other properties and rent them. What are your thoughts?

Dave Foster · Answer

@Raya Abdulmalak, If you just inherited that property it is probable that there is no gain in it because of the step up inheritance basis. In that case you can sell and use the money as you want with no tax due. If that's so then you may look at your ability to analyze/monitor/manage a property from overseas and decide to hold or sell independent of tax consequences.

Jacob Wathen · Answer

Do you own the property free and clear? Depending on the circumstances I would consider doing a 1031 exchange to get a multi unit property for extra cashflow. Just make sure you connect with a great property manager whatever you end up doing!

Inherited a house in WU Houston. Rent it or Sell it?

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