Will my current home make a good Rental?

[Randy Dickerhoff]

Hello BP'ers ,

I currently own a single family home in Mount Juliet TN, 25 minutes outside Nashville. Nashville is booming and houses are selling quickly. I want to find a way to start into real estate investing. Would renting my current home that my family lives in be a good idea? 

We live in a 3bed 2 bath home. Roughly 1300 sq ft. Purchase price was 190k and has went up in value to about 215k in two short years. Almost 1 acre lot. 

Also, how would I take care of my family to get them into a new/possible temporary home effectively for investing. 

thanks 

[Beth L.]

Welcome to BP @Randy Dickerhoff, and congrats on beginning your path into real estate investing! 

Have you researched current rental rates for your area to see what you could get for your place? Try Craigslist, Zillow and Rent-O-Meter. Make up a spread sheet to compare all expenses with the proposed income so see if it makes sense to do this. Make sure you find out all your areas local rental laws, regarding registration, inspection, etc. 

Could your family move in with friends or family for a short time while you save for your next place?

Or perhaps you could refinance and draw the equity out to make a down payment on a 2 unit place. You could live in one side and rent the other, so the other tenants are paying your mortgage, allowing you to save what you would normally pay for the mortgage for another down payment.

So many options! I'm excited to see what you come up with.