Should I sell or keep our first SFH investment in Maine?

[Drew MacDermott]

My friend and I (50/50 owners) are debating about selling a 800SF SFH in Old Town, Maine which we first bought and renovated 7 years ago (Spring 2007 or so). We lived in this little bungalow during college and began renting it out upon graduating. Thankfully, we have had great tenants and no catastrophes. The property is located next town over from a university and is conveniently situated near bike trails leading to the university. We aren't losing any money and we have reserve funds now to pay for any emergencies that arise in the future. The main issue with selling is I'm not sure how the market has recovered in this old mill town and if we will break even. One other issue is we both now live 2 hours away from the property, so it is a inconvenience to get up there quickly. I have a family member near the property who can help manage emergencies which is a plus. My first step is to have an appraisal completed this spring as we have not had one done since purchasing the property. I'll try to lay the numbers down as best I can for you:

Purchase Price: $68k, 100% financed. (We probably paid more than we should have in hindsight after renovating)

Mortg. Ins: $275

Closing costs: $3000 estimate from my memory

Reno: $12k - Gutted the house after finding open ended wires in walls, incorrectly framed windows, no insulation in exterior walls. Reframed windows, insulated everything, laminate hardwood floor downstairs, carpet upstairs, updated kitchen & tiled bathroom. It all sprouted from wanting to move one doorway before moving in!!

Property taxes: $1300

Insurance: $900

Water/Sewer: $500 avg

Current rent: $900/month + All utilities except w/s. May increase rent depending on if we sell or not.

After the tax man comes, we currently make $1,400 annually.

Please let me know if you need more information. I'm open to your insight, comments, questions, and ideas.