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Looking for best options: sell my house or rent it out?
5 years ago, I purchased a 3 bedroom single family home in a highly desired neighborhood in Las Vegas to use as my primary residence. I did some rehab during that time and decided to put it on the market, with the house almost doubling in value, the 250K+ jump in equity seemed like the best option for me. This would allow me to clear all my debt, increase my credit score and have money for down payments to invest in some off-market properties to BRRRR, fix and flip, or fix and stay for 2 years. I'm looking at moving to Northern NV to be closer to Lake Tahoe, with ultimate goal of adding some Air BNBs there.
The challenge is the market slowed down to almost a screeching halt. If I decide to rent it out, then I will have maybe $500-600 of cash flow coming in, but that won't increase my credit score or get me out of debt any time soon. Plus, what if I end up with bad tenants or the house needs major repairs? I'm not in a position to add any more debt. I don't want to refinance to get $ out, my current rate is 3.37% . The new payment with a higher interest rate may not make sense for turning into a rental. A Heloc sounds risky and you need a really good credit score. It doesn't make sense for me to throw away $ on renting a place for myself if I don't sell the house, and I won't qualify for a loan with the best rates unless my credit score is higher.
My whole goal is to build a portfolio of rental properties, and I have a good start with this property, but I need the equity.
If you were in this situation, what would you do? Any suggestions would be appreciated.