Should I turn my primary residence into a rental property?

[Nathan Simons]

Hey Bigger Pockets Community,

I wanted to know some pros and cons to turning my primary residence into a rental property.

Back story : I have lived in my home for over 2 years now and currently the value has gone up about 80k. If I rent this home out for 1-2 years can I still sell the property tax free since I lived here 2 out of the last 5 years?

Also, do I need to change my loan agreement to a rental loan?

Thank you and look forward to your responses. Cheers!

[Drew Sygit]

@Nathan Simons you should determine the following:

1) What is your long-term investment goal?
- Being a landlord, flipper, invest more passively in syndications?

2) How does renting or selling your primary move you towards that goal?
- Look 3 & 5 years out, not today, next month or just the next 12 months!

3) If you sold, what would you invest the funds in & how would the ROI compare to renting your primary?

4) Why can't you do "both"?
- Cashout refi to 75-80% LTV and invest those funds in another property, while renting it out?