Buy or sell to remodel new home?

[Ana Rodriguez]

I recently purchased a new home that I need to do major work on (new plumbing, electric, HVAC, etc). My old house would sell for 250-300k and I have a 50k mortgage. I need money for the remodel, and construction these days is insanely high. I estimate needing at least 200k for the remodel.

The old house would rent for 2.4k/mo, with mortgage payment of $600/mo (6 years left) and HOA of $200/mo. Add to that management fees, repair costs, etc.

It looks like it would be very easy to sell and use the proceeds for the remodel (this is what my non-RE investors and parents tell me).

I see renting my old house as a means to pay for my new house's mortgage, while also having equity to borrow for the remodel and future investments. However, some days I wake up wanting to rent and others I want to sell and just move on. My 5-year plan is to buy a multifamily.

What would you do?

[Bruce Woodruff]

Keep it and Refi......