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Updated over 5 years ago,
To Sell or to Keep, That! is the question.
Hello BiggerPockets!
This is my first time posting and I'm still very new to the game. I am looking for some advice. I have a property in a town that I no longer live in, it's about 3hrs away from where I live now. It's a small town and not a lot changes. I've owned this property since 2012 and it has helped me buy two others. Over the past year I've had to remodel one side by myself, I know terrible idea missed out on a ton of rent. In the same year I've remodeled 2 other units and have some debt because of the 3 remodels. This property still cash-flows but definitely under performs (due to flood insurance in my opinion) compared to the others. How do you know when to sell?
Keeping this property, pros: would positive cash flow. Cons: distance from home, longer to pay down incurred debt from remodels
Selling, Pros: would pay of mortgage plus all the debt ( nothing left over after that), wouldn't have to drive anymore. Cons: missing out on some cash flow, capital gains tax.
I know this is kind of a long post with minimal information but how do you know when to keep or sell? At what point is the cash flow to low? Has any one else been in this same situation?