Keep property for long term rental or sell for 40k+ gain

[Lance Brown]

I have been working on my fIrst RE deal doing a live and flip for the last 3 years and am just about finished with completing the flip. Bought the property for about 90 and put maybe 10 into the property. Local prices have increased to where I could sell for at least 145k. I was planning on just turning it into a college student rental and could rent the home for about 1200 a month. I don’t know if I should keep it for a rental or sell it for the gains so I can have more capital for my next deal. Any advice would be appreciated! Thanks!

[Jaysen Medhurst]

@Lance Brown, you probably won't clear too much in the way of cashflow. That being said, what about renting it for a year to see how it does? You'll establish it as an investment, then you can sell and use a 1031 to roll the money into another investment property. If you sell now, I believe it would be considered your personal home and they only way to avoid capital gains is to use the money for your next personal home (*I'm not an accountant).

College rentals can be a good business, but they do mean more wear-and-tear on the property and a bit more work on the management side.