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Updated 11 months ago,
Planning to sell my condo. Right decision ?
Here's my math -https://imgur.com/Tszgg4T
Why I should sell. ?
- I am getting only 1.5% returns without taking into account the equity building portion.
Mortgage tax write off is 0 as I currently pay mortgage on my primary residence.
I have used this property as my primary home for 2 years in last 5 years. So I will not have to pay the capital gains tax if I sell if now (CA).
Average stock market return is 7-8% (historical data).
Too much investments concentrated on real estate. I am paying 6% rate for my primary residence.
Why I should hold ?
- 3% interest rate and non-negative cash flow.
Highly rentable area (bay area) and white collar rentals. Chances of a bad tenant is less (but possible).
Bay area is a tough market to get back into.
Am I overlooking anything here ? What do you people think about my decision in selling this one ?