Should I lease or sell my condo in Arcadia, CA?

[Sandy Fu]

Hello Everyone, 

Would like to seek some recommendation about my situation:

• Bought my condo (detached garage) 3 years ago at $432k in Arcadia, California
• I will be moving to Seattle in a couple of months
• The property management company says I can try to rent it out for $2595 and they charge 5% management fee a month, $130. So my fix cost will be $2250 for mortgage, insurance and tax plus $310 HOA. Which brings me to a total of $2690.
• If I sell my place now, it's valued at $550k and $570k will be the max

Should I rent it out or sell it?

[Omar Khan]

@Sandy Fu Currently, your total costs for this apartment exceed the rent you will bring in by $95 (as per your post) i.e. rent $ are less than costs. 

You can hold onto this property and "lose" $95/month. I would only recommend doing this if your market is ultra hot and appreciating like crazy. Otherwise, ditch this, roll your proceeds through a 1031 exchange (@Dave Foster can help you) into a newer property. 

One word of caution: You might not find better pricing or value in Seattle as that is another over-heated market.