Updated over 9 years ago on . Most recent reply
Return on rental
Hello, I'm a newbie from jersey city. I purchased a property (1br condo) back in 2008 for 285,500. Property just appraised at 380k in 2016. I lived in the condo from 2008 to mid 2013. The past three years I've been renting it at an average loss of $400 per month (negative cash flow) however I'm currently refinancing which will result in a monthly loss of $20 per month (still negative I know). However I know I can raise the rent another $100 but the tenant keeps the place in good condition so would like to keep him. My question is now that the property is close to being cash flow neutral, should I sell and take my gains? Or just wait it out? The area is downtown jersey city so it still has upside but it's already appraised at $650 per Sq foot. Anyone see further upside in this area? Or is this a good selling opportunity to get capital for other properties? Thanks for the help!