Should my partner sell or rent?

[Jordan Sachs]

Hi everyone. I'm a newbie to investing (only 3 SFHs) and my partner is considering whether to sell or rent out his home. His house is in Clifton, NJ and has a 3.25% interest rate, monthly PITI of $1920, He could probably rent it out for maybe $2600-$2700 on the high end but if he sells he'll prob walk away with around $200k. Personally I think it's a lot of money to have wrapped up in one property when he could sell and maybe buy a couple properties in different areas but I'm curious to know what other people who are more experienced think? I'd be grateful for any insight!

[Jonathan R McLaughlin]

remember the tax break for owner occ. 2 of the last 5 years and the first 250K (single) is tax free. Go beyond that and its probably taxed at 30% between Fed capital gain and state, other issues, etc. $60K.