Updated almost 10 years ago on . Most recent reply
Rent out or sell
Here are the figures:
If I sell, my realtor is confident I can make around $35,000 after all the associated fees going into selling it.
If I rent, I believe I can rent it for $1350 or more and my mortgage is $1000 a month. I owe $135,000 on the home.
Is it worth is to keep it and have the hassle of continuing to find renters, deal with fix-up for many years to eventually pay it off and use it as income, or walk away with cash now..
Long term I would have to do the roof, windows, back and front deck, and some carpet whereas I do not need to do these if I sell now.
Most Popular Reply
SELL!!
The $350/month above and beyond your Mortgage, which I'm assuming means PITI, is NOT going to make you any money.
$350
-$150 month in Cap Ex (future repairs)
$200
-$135 (10% management fee. Even if you don't pay this out now, figure it for when you no longer want to traipse over there at 2am)
$65
-67.50 (5% vacancy. I'm assuming this is in a family neighborhood so vacancy shouldn't be too high)
-$2.50/month And that doesn't include anything utilities, minor repairs or trash.
SELL!! The numbers tell you to :)