Mortgage Underwater $30k After Almost 10 Years of Ownership!?

[Account Closed]

Hello BiggerPockets Community!

I really need some advice on whether to hold or sell my rental property. Here are the details.

In 2011 I bought my first home, a 1 bed + den, 1 bath condo for $227 000. I paid way too much and moved 1800 miles, couldn't sell the property due to no buyers at the price listed. Over the first 7 years of ownership, I attempted to sell 3 separate times, 3 different realtors, with no success, not even a single offer. I am now losing $535/ month with this property. Over the last 9 years, I lost an average of $300/ month. I'm at a point where I'm now a "motivated seller". After talking to a 4th real estate agent(#1 on rate my agent) they recommended to list it at $160 000. With average closing sale 90% of asking, leaves us at around $145 000 probable sell price. I owe $175 000 currently. Is it worth the $30 000 loss plus closing costs(estimated around $8500)? Emotionally it has also been taxing... 

Any suggestions would be greatly appreciated!                                                                                                               Liam

**Not sure if this matters but I'm Canadian. I bought the condo in Edmonton, Alberta and moved to Hamilton, Ontario**

[Nathan Gesner]

If the condo is only worth $140,000 today, that means it should have been worth less than $100,000 in 2011. How did you get tricked into paying 120% more than it was worth? 

I would rather lose $500 a month for the next five years than to give up $30,000 today. It's time to get creative and figure out how to rent this for enough to break even and stop the bleeding. AirBnB is one option. You can learn how to market and rent it from a distance. Find a good cleaner that can also handle little extras like checking people in and out for an hourly rate or a flat fee. Much cheaper than a full-time property management company.

you have to check zoning and the HOA rules to see if a short-term rental is allowed. There are extra costs to furnish it and get it marketed. But it might work if you put the effort it.