SF condo, sell or rent for a loss?
Purchased a condo in a nice part of SF in 2017. overpaid, but at that point housing was appreciating quite a bit year over year and we were confident we’d be able to rent at cash flow positive rate if we ever moved. We did and We were renting it for a year making enough to cover expenses, but with covid the rental market has fallen by at least 15% and our tenants are moving out. We can either rent it for a loss in a city where tenants never have to move out...
Or we can sell at a significant loss and invest the remaining in another market that will appreciate more.
Questions for forum:
Direction of SF real estate market? Is it worth holding the property in the hopes that things get better in the next 2-5 years?
We know we overpaid for the unit by quite a bit and we’re concerned we won’t ever make a profit, even if we hold for a while. Is it better to cut our losses and and try to recover some of what we lost in the stock market?