All Forum Posts by: Daniel Dylan

@Theresa Harris there is a future chance I move back. I love the home and it would be difficult to get back into the area for the this cost. It’s a really good neighborhood. Thank you for the framing, this helps make a short term decision. I think I can reevaluate in 2 years and within the cap gains period. 

@Steve Vaughanthank you for your input, that’s a crazy anecdote from your son. Big drop. It seems like these numbers are common in king county and CA. I guess people are banking on equity? East side king county does has a good track record with tech employment growth. 

@Julien Jeannot good question and helps frame the decision. I began purchasing with the intent of creating cash flow to live on one day. It’s changing now and I value lower effort investments.I believe equity build with w2 tax benefits wherever possible is the best objective. My w2 income is well into the single 35% bracket, so cash flow is discounted and any tax benefits are valuable.

Hi all - I’m at a bit of a loss for what to do next with my real estate investments. What would you do? Would greatly appreciate any input  

Background: 30YO Seattle area with good w2 income. For personal reasons, I need to move into a rental soon in a different but nearby location to my properties. I’m struggling with the decision of if/what I should sell or rent.

Property 1: 2nd/2bth Condo in Bellevue WA. Renovated in 2016, Easy to find tenants (near Microsoft). Rents for $2,800, total cost is around $2,400. Approx $200k equity. Mortgage has $270k at 4.125%. 

Property 2: 4bd/3bth Home in Bellevue WA (nice property, lake view, renovated in 2019). TBD on ease of finding tenants. Rents $3900-4300 (I think), total cost to me is $4500 (not incl maintenance). Approx $600-650k equity. Mortgage has $710k at 3.3%. 

 My inclination is to continue renting both out and reevaluate selling the home in a few 1-3 years. It seems like the equity may be better suited in another investment (syndication, bond, stocks) than a property without negative cash flow. On the flip side, the equity growth on east side seems likely. What do you all think?

 

I'm a new landlord in a HCOL area with lots of highly paid young professionals. I have a well qualified applicant (2 friends whom lived together before), but one of them let me know they smoke. They assured me they would only do it outside, but not sure I can completely trust them. The other friend doesn't smoke.

They would be sharing the security deposit (~2500-3000) so I think that gives some security, but really on the fence. It seems like worst case that would cover the cost to repaint. I only have hardwood, no carpet. 

How does everyone feel about smokers? I have a few other applicants, but no one as qualified as these folks.