Updated about 7 years ago on . Most recent reply
Renting out House because of job opportunity thats out of town.
Guys, I am waiting to hear back but I will try to breifly explain my situation.
Just bought a house in May 2018. Have a possible job offer out of state. If the offer makes sense, might take it, as I have been waiting for a long time for it.
Looking at my house see the details below.
Loan on House : 241,900 (1210 / month mortgage)
Potential rent : 2,500 /month (based on comparable rentals)
HOA fees : 150 / month
PMI : 150$ / month
Insurance : 1900 / year (includes flood)
Taxes : 5,500 / year
Utilitites : On Tenant
After vacancy (5%) and maintenance (10%) and property management (10%) I am at a loss (-200 cash flow) each month. If I include the equity, I make about 120$. If I try to sell the place I might get similar to what I paid for it, maybe more as we have done some repairs and cosmetic uplifts.
Im trying to figure out, should I try to rent it out or sell it? Selling it I assume I will lose money on the realtor commissions or break even as I have about 6% in equity at the moment.
Thoughts are appreciated!
If you need more details, let me know. Thanks in advance!
Most Popular Reply
When considering renting out, make sure you factor in the "headache" cost of managing your property manager, getting phone calls for things that can and will go wrong. Sometimes it's worth just breaking even to retain your peace of mind. If you're at a lost renting it out then it already doesn't make sense, unless your goal is to build a portfolio for future generations.