All Forum Posts by: Chris A.

I have my first home that I purchased as a foreclosure back in 2011 which up until now has been our primary residence.  I got a great deal on it and planned on it being my first rental property when we decided to find another primary.  

So fast forward to today, my and my wife have had 3 kids and decided its time to move on from the house.  We moved in with my parents while we decide what the next step is as far as where we plan to move to.  The question now is if we should continue with the original plan of renting it out or just sell it and use the cash to fund some flips and pay off some medical bills.

Here's the financial situation:

Currently owe 91k on the house, comps in my neighborhood suggest I could get 175-185 realistically.  I have a heloc, which I would take a 400$ hit on early termination if I sold.  I could rent the house out for 1400.  Current mortgage payment is 790. 

I have around 22k in credit card debt from medical debt from my wife and some from fixing things in the house to get ready to sell/rent. 

Obviously, I've got a lot of equity I can pull out in a refi, which I could use to pay off most of my credit card debt and cash for a flip if I found a good deal.  Would it be more advantageous to sell and get the large lump sum to make cash offers, or cash flow, take out some money out in a refi to pay off some of the cc debt and stash some for a good flip deal.  If I were to do a refi, what's a good amount to start out with for doing flips? 

Thanks for any input!

@Javier Tejera

Agreed, I do tend to buy better quality stuff as it last longer than buying cheap stuff.  I think I will take your suggestion about offering them as an "add-on" type deal.  One less thing to worry about breaking and me being responsible for fixing.  

 What would you suggest doing to Harden the properties?

If you had one suggestion that you wish you knew when you were first starting out, what would it be?

So easy to fix...It will take you probably 30-45 minutes total.  I have fixed mine multiple times as the fuses kept blowing (it's holding now...I just know I can't dry one shirt or whatever, it has to be a full load).  Likely it's just the fuse ($10ish) on the heating element that broke, just depends if you want to spend the time to fix it.  

All you will need is a voltmeter to test the fuse to see if it's the fuse or the heating element. 

Nope you would need to wait until the lease expires. Make sure to read the terms of the lease it may state that you have to give them 30 days notice or something if you chose not to offer to renew their lease.  You may offer to buy them out of the lease so that you can terminate it early...but yeah not much you can do.

I've seen some nice houses over there, but there are some not too nice houses far to close. I would never buy anything over there.

Either way, 700k for a mere 50$ a month is pretty decent IMO.

My Grandmom had a condo out there for few years, didn't do that well from what I remember and eventually sold it. Myrtle beach is a ghost town when its not beach season.