Rent or Sell (College Station, TX)
23 months ago I purchased a 2007 vintage 3/2 1156' single family home in a growing development for $89K to live in while working at TAMU. This house is on the small end of the range for this neighborhood. I have since done a complete rehab with new kitchen and bathroom, high end carpet in the bed rooms, porcelain tile in all other house space, deck install and all new appliances. I now intend to retire and move back to Florida in June...... I financed $70K at 3.50% so I now have about $32-35K of my cash tied up in the house. A house in the development, same age and floor plan, also recently renovated just sold for $130K so I think that if I sold the house, I would probably walk away with between $45-50K...... My total monthly house expense now (mortgage/taxes/insurance and HOA) is $600 per month. I think I can reasonably expect to receive $1200 per month in rent based on the average for this area. If I rented, I would definitely hire a management company. I really like the idea of netting $300-$400 a month passive income and some one else paying my mortgage especially at such a low rate. I am also thinking that I would never be able to make the same amount from the equity if I sold. I think I need to make a decision soon. I appreciate any advice on this matter. Thanks!