Should my first rental be my personal home?

[Erik Grantham]

Hello all, I'm weighing a few options to get me jump started into REI. It has crossed my mind to rent out my existing home. I will be building a home soon and can sell or rent. I currently have about $110,000 equity in my home and owe around $90k. The rent would probably be at least $1400 a month. Would you take the lump sum by selling or would it be smarter to hold ? I've lived in the house 20 yrs (built myself) it would be tax free now but capital gains years from now if I ever sell after renting correct ? Would the value increase enough ? Just trying to wrap my mind around all of this. Thanks in advance