Flip or Hold

[Joseph Molander]

Hay BP, I need some advice. I closed on my first SFR in January this year, I should be completing repairs by the end of this month... might be mid next month. The question I have is this. Should I rent it or sell it? The reason I'm having trouble making the decision is if I rent it then The cash flow would be great. If I sell it I'll be able to knock out a substantial chunk of personnel debt. Also the timeline for my investment goals are pretty short, for now. Is flipping a better option of short term goals? Is cash flow more important than eliminating personnel debt quickly? Below are the approx. round numbers. Purchase + rehab = $55,000 ARV = $110,000 Rent $1000 - $1200 I'm really not sure which route to go toward. I would love to hear you thoughts. Thanks so much!

[Ed Emmons]

Depends on your goals. Write a timeline out as to where you need to be and when. Consider the interest rate on your current debt vs. the return using that money investing. Flipping houses will almost always bring more short term cash but it is nice to have enough residual to cover your living expenses and then flip for the extras.