Twinbrook, Rockville Rent or Sell

9 Replies

I am brand new to this forum, thanks so much in advance for any pointers you may have for me. We have a single family house in Twinbrook, it is within 10 minute walk from the metro. We purchased a townhouse in Rockville and are planning to move at the end if this month. We are debating if we should keep the house and rent it out or or selling is better alternative.

1.Does anyone have experience renting a single family house in Twinbrook? I just checked and there 18 houses being offered for rent...they have been sitting there for some time. I know it is not easy and there many things that can go wrong, but I also feel that this a great opportunity to try it out while we have this property, worst case scenario if it doesn't work out for us we can always sell it. 2.Where do you feel the market is headed, specifically in Twinbrook, is it going to continue growing in price as this area is developing more and more?

Thanks in advance!

Welcome to BP @Svetlana Greenberg ....I see this is your first post.

I actually have 1 rental in 20851, on the north side of Veirs Mill Rd. It is one of my favorite rentals.

Rentals this time of year are harder to fill...once you get past the holidays it gets much easier to rent them out.  Im a big fan of Rockville and Silver Spring in general.  Twinbrook, it all kind of depends on the property. There are some dumpy ones there I dont like...but then there are some solid ones too which I do like.  Rent growth and appreciation are solid in 20851 though.  

@Svetlana Greenberg Hi and welcome, I am also a newbie.

Like Russel Brazil said, November, December, and January are the hardest months to find a tenant. The Twinbrook area is solid as far as desirability goes so I don't think you will have a problem finding a quality tenant as long as you market it and screen them well.

If I were in your shoes I would get the below numbers:

1. Rent- A realtor can pull rental comps (just like they pull sales comps when you buy a property) so you know how much to charge.

2. Monthly costs- mortgage, taxes, insurance, hoa

I would then be curious what rent-costs =?

If you are breaking even, that is okay. If your costs are much higher...I would consider selling and putting that money to work elsewhere. My rational is that there are actually more costs associated with owning a rental property- repairs budget, capital expenditures, property manager fee, vacancy. So your rate of return may not be worth the trouble of owning this particular property.

There are other things to consider but hopefully that is a start :)

@Mary K. thanks so much, yes there is defiantly some cash flow, based on initial calculations. I am more worried about major things braking, i.e. AC, furnace, etc and having that as an additional expense. Do you rely on home warranty for your rentals? Do they really do what they promise to do or it is painful? Thanks so much!


 

@Svetlana Greenberg -I don't have warranties on my my appliances so I can't comment on that. I do keep an emergency fund of 6 months of mortgage, tax, insurance, & hoa payments for my places. I lived in both and have owned them for years so I am very aware of the condition of everything.

As tenants come and go, you will need to replace things like carpet and paint but because this is your first place I wouldn't get too bogged down with thinking about every possible cost. Just keep that on your radar.

Cash flow in MoCo = keeper

Side note, there are a ton of really great books out there about investing In real estate and being a landlord. Bigger pockets actually has a very good book called "how to be a landlord"...or something generic like that. IMO 100% the best thing you can do with your time is read it .

Years ago I relocated to the DC area due to a job transfer... I lived in Rockville (20850) in the King Farm community.  I loved that little area... be encouraged, I signed the lease in November.  I recall that it was a very hot market, even when the overall housing market was in a slump.

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