Hold or sell

[Stuart Samples]

I would like a few opinions on this

Current value $140,000

Rent $725 month/ $8,700 year

Taxes $1,600

Insurance $500

Lawn care $840

Vacancy $435

Maintenance $550

Total expenses $4,775

8,700

(4775)

$3,925 cash flow

ROE 2.8%

This property is a SF in a great area but the returns are awful

What's your opinion

[Jacob Forbis]

Stuart - are you comfortable with leveraging your money? With $140,000 in equity you could sell and pick up 5-6 100k houses with 20% down and keep whats left over for maintenance and cash reserves..

I'm not familiar with the Alabama area but in Texas we can get around 900-1k rent for 100,000 house.