What to do with negative cash flow property?

[John Pfeifer]

Hey everyone. Love the BiggerPockets community and looking for advice with a negative cash flowing rental.

I’ll get right too it:

I bought a condo for a place to live and received a new home buyer grant.

200k - 10k grant. Paid 190k

Lived in for 3 years and then started to rent.

I’ve now been renting it for 5 years.

After rent covers mortgage but not icy else. I’m basically out $150 a month not including any potential repairs.

So over the year I get 5500 towards mortgage for roughly 2000 in expenses.

During this time condo construction went crazy in the city another 6000 units in a city of 260k people...

Condo market has now tanked and not going to bounce back anytime soon.

Looked into selling the condo and I could get 160-170k with 135k remaining on mortgage.

Basically do I cut my losses sell and take that 30k or take my small equity each year?

[Joe Villeneuve]

Originally posted by @John Pfeifer:

@Joe Villeneuve. Thanks Joe. That’s exactly what my game plan would be.

 Don't mistake the property as your asset.  It isn't.  Your asset is your cash.  the property is just the temporary resting place for it.