All Forum Posts by: Sherri Morrison

Thanks so much Huong for taking the time to offer your guidance. I didn't realize lenders would use their own appraisers. Does that mean I shouldn't bother getting an independent appraiser?

We thought about staying in the house, but due to new jobs coming in around the area recently, the street the house is located on has become very busy, and we are looking for a quiet place to live. It might be a good thing for renting out since so many people passing by will see our For Rent sign though!

Thank you Roy, that's a great perspective on considering the big, long term picture. I really appreciate your response. Wonder if the first step into rentals is always the hardest?! Feels like a big mindset shift.

Thanks to anyone reading this! It's my first post, and am learning more everyday about real estate.

We purchased the 1963 bungalow house (in Ontario, Canada) in 2010 for $155,000. It's probably worth around $275,000 if we sold today. And over the years we've put about $25,000 into it - although it would still need more to get it rent-ready (at least $5,000). The remaining mortgage is $80,000, and we're looking to buy a new house to live in for less than $350,000.

So - since the value has increased so much, would it make sense to sell it?

If we refinanced the house at $230,00, monthly payments + taxes would be $1379. Plus we would still need to factor in maintenance.

Houses in the area generally rent for $1500-$1800

Does refinancing at $230k to refinance make sense? Does that sound like something that's possible, or would it be more like $165,00 if they only let you refinance up to 60%? I choose $230 because it seemed like the number that would allow us to rent it out, plus give us a good downpayment on a new home. However, if the real value of $275,000 was used, I don't believe that the rent would cover the expenses - so it makes me wonder if it would make more sense to sell it.

Please share any guidance or advice, I'd greatly appreciate it!

Sherri