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Updated almost 6 years ago,

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5
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1
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Wendell Clark
1
Votes |
5
Posts

Should I sell or continue to rent the property?

Wendell Clark
Posted

We (wife and I) purchased a home to occupy in 2016 and 2018 I moved. I had no upfront cost to move into a new construction home. In 2018, we moved and started renting out the home. I was cash flow negative (the house was on a 15 year fixed), and I recently refinanced to a thirty year fixed investment loan. It now is $175/month in cash flow. The house has increased over $30K in value, and now I have over $60K in equity. I only had to put down $1000 total ($500 for appraisal and $500 at closing) for the refinance. When I run cap rate ratio the home doesn't seem like a horrible investment. When I run the ROI the home seems like a great investment. Should I continue to rent the home or sell the home when the current renters move out in June? Thank you for your help.

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