I found a perfect condo to live, but it has rental cap
I own 1 condo, which I bought with plan to turn it into rental later and buy another one to live in.
I recently changed jobs and now I'm looking to move closer to work, in order to decrease my commute from 1h to 10-20mins. This would save me up to 40h a month!
I want to rent my current condo, and buy another with the same strategy: live for a while, and rent later on when I move to buy another property (job change, getting married, having kids). Timeline for that is unknown...like life. I may stay there 1-2 years, but maybe also 5 years...or maybe even 10.
I've seen like 20 properties so far and didn't find any that I like as much as this one. It has perfect location, not only commute wise but also it is close to restaurants and night life, it has covered garage, etc. All other I've seen had some issues, old construction, too small garage, weird layout, next to busy streets etc. My agent said that especially two has good upgrade&rent potential...which I kinda agree with, but living there wouldn't be as good as in the other one. Thus, I have a dilemma: suck it up, and live in 'meh' place, or risk living in condo with rental cap.
Rental cap (20%). There is 50 units in building and 10 are rented, and there is 8-9(!) people on wait list...
My agent is telling me this is not a good choice...which I agree with from investor perspective, but life is gonna be so much better :) Also I wonder if working towards removing rental cap during 1-2 years when I will be living there is not too big of a risk. Maybe at least increasing it, or maybe I'll just wait to get into the pool of renters? Or worst case: I'll just sell it with loss.
What do you guys think? How would you tackle that?