South Bay Area Room Rental in Condo

[Nikhil Dua]

Hi all,

I currently bought a 2 bed, 2 bath condo a 2 year ago here in San Jose, CA. I've been living in the master bedroom while renting out the other room. Currently financial figures are as follows:

Mortgage: $2200

HOA: $550

Monthly Property Tax: $600

Maintenance: $50-100

Total Monthly Cost: ~$3400 / month

Rental income generates around $1400 a month leaving me with an "effective" monthly payment of $2000. I have around $100k equity in the place.

I needed some advice on the following things and tradeoffs of each, namely because I'd like to live by myself now but I feel as if I'm stuck with this home somehow due to high cost without roommate, banking only on appreciation in Bay Area to carry me through. Few scenarios:

1) Maintain my living situation: Have roommate and save $1300 / month. However, I'm starting to really hate sharing my place due to need for increased privacy and peace as I get older.
Total Payment: $2000/month ($800 going to principal)

2) Have no roommate: This would be preferable however I'd be paying close to $3400/month ($800 going to principal). Maybe try this for few months and see how cash affects me?
Total Payment: $3400/month ($800 going to principal)

3) Rent out whole place and find a 1bedroom or studio: I'd be fine with this but of course still have to care for tenants etc. Also more tax implications due to whole place converting into investment property I think? Rent would be $2600. $3400-2600 would still leave me $600 to pay. Studio would cost $2100.

Total Payment: $2700-$2800/month (+Maybe more due to tax implications and higher maintenance from tenants)

4) ??

Any recommendations / advice would be great! I've been also looking to move out of the Bay Area as well, hopefully this year, while still owning the condo as investment but this all depends on finding a job.

Thanks!