Genius Rental Strategy or Disaster Waiting To Happen?
Good Morning everyone,
I have a question about my situation that I'd love to get some feedback on from some more experienced investors.
Some backstory: I am adjusting to a recent move to a one person salary. I wasn't getting the income that I needed and I have two spare bedrooms in my house that I never use. My mortgage is $900 and I rented one room out for $550 then the other at $500. I noticed piecing out my house brought significantly more income. I had flipped another house but it just will not sell. The payments are about $675 on this 3bedroom/2bathhroom house. I rented 2 rooms to a lady for $750 and have the opportunity to rent the other for $500. This brings in much more cash flow then renting as a whole. Obviously there is more management on my part and more wear and tear, but is this a smart move? or a disaster?
to wrap things up.
My house:
mortgage $900
rental income: $1050 plus I live in the master suite for free
Property 2:
mortgage $700
rental income: potentially $1250. ($900 if I do not piece it out)