Sell 4yr old new Town home or Keep

[Kevin Kim]

Hello 

I purchased townhome (4 Bed room, 1900 sq) as my primary home 4yrs ago in Eastbay. Now, due to the commute, I am moving to San Jose (this time, I am renting house in good school district) I have 2 out of state cash flowing real investment (SFH/MF) and now I am thinking should I sell my east bay home or keep it as long term investment

If I keep it,

expected rent: $4,100 

expense: (Mortgage+tax = 3700, HOA: 250) so no cash flow but tenant pay mortgage and expecting appreciation in long term.

Pro: I have good 30yr mortgage (2.85%) and purchased price was about 890,000 (tax is lower) . also this home is town home and newer so self maintaining home may not be Hugh issue.

Con: Compare to out of state MF home, cash flow is almost 0 as of now. 

If I sell, I can get 1.3M - 1.35M (Current mortgage balance is 650,000) and I can buy Few out of state cash flowing multi family homes. 

I am leaning toward to keep this home as my long term investment but please let me know if I am missing anything.

Thanks

[Jared Hottle]

I think with those terms you should keep it. if you break even for a few years you win as rent will go up and so will appreciation. Won't get those terms if you sell and invest in something else and it seems like a solid place.