To rent a house vs sell

[Jasmine Johnson]

Hello, I have a house that I purchased for my personal residence but I know want something smaller. It was built in 2014. Since I am now getting in to REI I want to know what do you guys think the best thing for a newbie Investor to do, rent it out or sale. If I sale The only stand to make 10-15k after commissions. If I lease I'm only making about $160 per month, with about $600 in HOA, leaving me with $1300 a year before any other expenses. I really wanted store lease so I could get experience under my belt. What advice or outlook could anyone give. Thanks

[Stephen McClanahan]

@Chris Lopez is spot on about first figuring out what your goals are then making sure every step you take is in that direction.  Here are a few questions you can ask yourself about this one to see if it will align with your goal.  Best of luck!

1. If I sold it, could I use that 10-15K as an investment (down payment) into a better deal?
2. What are your true expenses (repair, capital expenses, insurance, property management, vacancy costs, etc) of holding this property and renting it out.  It might not be cashflow positive.
3. What are the tax advantages to holding the property vs selling it?
4. Is your home in an area or is the market turning in one way or another that may be worth holding or selling?
5. Instead of selling, do you have enough equity to refinance and pull some equity out to finance another deal?