Updated almost 7 years ago on . Most recent reply
Should I sell or rent?
I have a house that’s bringing me 1,950/net cash flow a month. I Just received a call from the tenant letting me know that he’s moving out by May 1st (we are on a month-to-month lease)
House is 6 beds and 3 bath. Worth 350-375k and is paid for.
I’ve been exploring the option of selling it and buying two smaller homes which will result in 2,600 cash flow a month..
My concern is that the house has a well/septic and is near an industrial area, and may take time to sell (or may just sit on the market). I’m an agent and looked at the comps, but the house is very unique.
The house will easily rent for $2,500. My current tenant had 3 people living living in this 6 bed. My overhead was low primarily because of that. If I rent again, the odds of 3 people moving into a 6 bedroom house are very slim. The maintenance will hurt my cash flow.
Should I sell? To do this I’ll probably need to spend 4-5k getting it ‘ready’ to list. I’ll lose rental income during the listing time, and may ultimately rent if it does not sell.
Or should I rent. The house is is rental ready and it should not be difficult to find a renter.
Appreciate your help!!