Current home as a rental

[Tony Leighty]

We bought our house a couple years ago and was wondering if there was a good time to think about renting your house out? When we bought, we bought with an FHA with 3.5 down. The house was 319,999 and our down payment was 12k. We have a great interest rate, 3.25% bringing our payment to a little under 2k a month, including PMI..God I hate PMI. Rentals in my area go for roughly 2k for marginal houses, however, my kitchen is totally redone, and put beautiful dark hardwood floors in when we moved in. It's an end unit with a great deck and a custom living room.

Should I wait until the PMI is paid off to rent it out? What numbers should I be shooting for to make it profitable and give me some wiggle room?

Thanks!