Bexley Park out-of-state rental - sell or keep?

Question

Hi everyone, I live in VA now but still have a rental in Bexley Park Delray Beach 33445. Bought in 2000s 3/2.5 townhouse, rents 2400 but needs work, HOA and insurance up. Tired of managing from far. For those who sold out of state rentals, did you list with agent or sell off-market speed? What discount is normal for quick as is sale? Anyone sold in Bexley Park area while living out of state? Thanks.

Drew Sygit · Answer

Every market is unique, as well as time period and there are also seasonal impacts.

Recommend you deep dive into Zillow sales in the last 6-12 months (3 months even better for trends).

If you can have an real estate agent download those same sales with field for rental income (or similar), you can separate the sales by tenant-occupied or owner-occupied and find your own answer:)

Muyees Ayilara · Answer

Randy, thank you — that is exactly where I am. Managing from Virginia while the rental is in Bexley Park Delray 33445 is wearing me out. I bought it in the 2000s, 3 bed 2.5 townhouse, rents $2,400 but needs work, HOA and insurance up. I am tired of managing from far. Before I decide to sell, I am asking a couple of local property managers what a hands off version looks like — fees, maintenance, lease renewal — to see if it pencils or if selling makes more sense. Good call to look at that option before list vs off-market. Appreciate.

Noah Wright · Answer

Being tired of running a Florida rental from Virginia is a fair reason to sell, and checking the discount before you accept it is the right instinct. On an older townhouse with the original roof and AC, insurance often decides whether you list or sell off-market more than speed does. Florida insurers commonly want a 4-point inspection on older homes, and any buyer using a loan needs a policy bound before closing. That includes investors on DSCR loans with the lenders I shop. If the roof or AC fails that inspection, your buyer pool shrinks to cash, and cash buyers price that in. So get a 4-point done yourself before you choose. A clean one supports listing with an agent. A bad one tells you whether the off-market number is fair. Is the roof covered by the HOA or by you?

Muyees Ayilara · Answer

Noah — appreciate this, makes sense. On Bexley Park 33445 townhouses (2000s build), roof is HOA-covered in most sections but interior AC is owner — that's the 4-point fail point I see a lot. Good call to get 4-point done before deciding list vs off-market. Are you seeing DSCR lenders requiring roof <10yr even if HOA covers? For 33445/33446 townhouses at $600K ARV range, what insurance age cutoff are your lenders using for AC/roof now? Thanks for the insight.

Drew Sygit · Answer

Understand that if you try to sell tenant-occupied, you will only be able to sell to another investor - which means someone looking for a deal that will usually offer less than "market value".

To get the highest possible sales price, you will want to sell it vacant, so an owner-occupant can buy it.

Muyees Ayilara · Answer

Drew thanks - huge insight! This Bexley Park unit is tenant occupied now, lease ends Nov, rents $2,400. So if I understand, selling tenant-occupied = investor only = less than market value, selling vacant = owner occupant = higher price but need to wait + vacancy + make ready. For out-of-state owner in VA with $350 HOA, does it ever make sense to sell occupied at discount for speed vs evict and wait 90 days? Appreciate your PM experience!

Muyees Ayilara · Answer

James thanks - 454 doors wow, appreciate this! Your 1% rule makes sense - my $200/mo calc was before vacancy, so real is maybe $0 or negative. Your menphis section 8 numbers $1395-$1950 on $100k all-in is strong vs Bexley $2400 rent on $480k value. If you were in my shoes with out-of-state Bexley TH needing $70k rehab, would you take 15% off for 10-day as-is or list? Trying to learn. Thanks!

James Jones · Answer

Sold my share of underperformers over the years. Here's the rule I use: if a property can't clear my return hurdle, it's not an asset I'm holding - it's capital I'm parking badly.

$200/month on a 3/2.5 you bought in the 2000s sounds fine until you run the real math: HOA $350, insurance $2.8K/year, 10% PM, vacancy - you're one roof or one long vacancy from a losing year. And out-of-state only works when the numbers are strong enough to survive the PM layer. Yours aren't.

I run everything through the 1% rule. A house all-in under $100K needs $1,000+ in rent - my Memphis 3BRs pull $1,395-$1,950 through Section 8. I'd sell the townhouse and redeploy into deals that actually cash flow.

Across 236 properties, some of the best money I ever made was selling the ones that stopped earning. Nostalgia isn't a strategy.

Muyees Ayilara · Answer

Thanks hussein! True, 10-15% as-is cut for 10-day close vs fixing and listing 30-45 days. For Bexley Park 3/2.5 built 1990s, do you know what a realistic CMA is now? I saw $460k-$495k ARV for update ones, but as-is with original roof AC maybe less. Any agent you recommend who actually sells Bexley Park?

Gregory Acs · Answer

Hi Muyees,

If it were me, I'd compare the long term value of keeping the property against the cost and hassle of managing it from out of state. If the property still produces solid cash flow after factoring in repairs, HOA, insurance, vacancy, and property management, it may be worth holding. If those costs are eating into your returns, selling could make more sense.

As for selling, I'd get opinions from a few local agents before deciding on an off market sale. You'll have a better idea of what the convenience of a quick sale is actually worth versus listing it on the open market. Sometimes a little more time can result in a significantly better net outcome.

Bexley Park out-of-state rental - sell or keep?

Bexley Park out-of-state rental - sell or keep?

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