Should i rent out my house or owner finance?

[Phillip Dill]

Hello everybody I've been wanting to jump into real estate investing for years now and i am finally starting to take action. I'm thinking about renting out my house and having a property management company manage it for me but then owner financing came up and i was told that i could receive 10 to 20 percent up front which is amazing to me. My question to you guys is should i rent out my house or just do owner financing

Here are some more details:

-I am currently paying about $1000 a month on my mortgage and was told that i could rent this place out for $1400 so that would be $400 dollars cash flow every month minus $100 for property management.

-Apartments go for around $1200 dollars near me so the cashflow i would get every month for my property would be almost wiped out.

-My interest rate on my house is 3.8%

-My mortgage payment is broken down like this : Principal=$195.49 Interest=$416.28 Escrow (Taxes and insurance)=$375.03. Total mortgage payment= $986.80

Owner financing sounds so right to me because i'm up to my eyeballs in debt and the big down payment would really help a lot.

Any advice would be greatly appreciated. Thanks!

[Account Closed]

$1400.00/month rent minus mgmnt minus repairs minus vacancy minus cap ex ... if you are already up to eyeballs in debt, this is a disaster waiting to happen.  No cashflow to speak of, and the first time you go vacant, you'll be so desperate to get it rented that you are vulnerable to picking a lesser quality tenant just to keep the money flowing.  That's when  the disaster starts...