Rent or Sell- Current Rental
I own a house in Denver that I need to continue to rent or sell.
Purchased for $460,000 with $50,000 down, monthly payment is around $2,350, including an approx. $200 PMI that will get dropped this year.
Current rent is $3,100, which may be high with rental inventory growth in the area, I imagine the realistic rent for the home may be closer to $2,800-$2,900.
The current value is around $550,000-$560,000
I am considering selling because 1. I am not sure how long we will see these home prices in the specific area (about 10% appreciation/ year) and 2. The home was built in the 1800's. It is well-maintained and ready to sell, but will need some extensive work in the future including foundation work. A structural engineer took a look and said nothing is needed today, but will be in the future. I don't know if that will be in 5 years or 20. Regardless, a huge expense for a rental property. and finally 3. if the rental price actually goes down, as I believe it will, this cuts into any cash flow on the home. I would take the cash from the sale of this home and purchase another buy and hold investment property to rent with better cash flow and less costs risk.
I lived in the home initially, and have since moved, so it was not initially purchased as a rental, and I have better cash flowing properties.
Thoughts?