Have 20k equity in our $280k townhouse (no/minimal appreciation as I bought at peak last year but our interest rate is 3.75%). We are moving next year to another state, do we keep it as a rental as LT investment and in case we want to come back? I hate to let go of the semi modest interest rate. Rent would only be like $200 / month more than my mortgage+insurance+HOA, so initially would be ~cash flow neutral. I'm in a generally strong appreciating market in the South.

like
Posting as :
works at
You are currently posting as works at

Being a long distance landlord sucks, and you’ll probably need a property manager to handle things small things. Tack on another 10% of monthly rent to expenses. Also, capex expenses like a broken AC don’t stop because you aren’t living there anymore. Add in another $150 a month for those savings.

Also, it’s now taxable income, factor that in too.

If it were cash flowing and real estate was still quickly appreciating I’d keep it, but tbh sounds like it’s going to be a headache for a non cashflowing asset. Take the loss on selling costs, be happy it won’t be out of pocket, and put that $500 a month into something else.

smart

This is not an informed decision at all. You are making things up. The probability that you'll have taxable income from real estate as a small investor is really low, that would mean your margin is extra high due to the depreciation aspect that will factor when you file your return

You forgot to factor in vacancy, repair costs, prop mgmt fee, and possibly utilities. You're cashflow negative.

What you need to figure out is if you are net income positive. This is basically cashflow - personal income tax + portion of payment going to equity. If you are positive by about 500/month or so, I'd keep it. This is enough to compensate you for your time managing it.

Also, factor in whether it will appreciate and roughly how much. National average is about 6%/ yr. Probably wil meet this, so you might keep it even if its net income is a little less than 500/month. Your other choice (re: opportunity cost) is sell and pay fees to the tune of 5%.

But your first decision is probably less of a financial one and more personal. Are you willing to deal with owning a rental property you remotely manage?

smart

Cashflowing $200 is basically breaking even as you’ll need to save for vacancy, maintenance, and capital expenditures.

But if you expect 10% to 20% increase over the next 2 to 3 years, you’ll still be able to take advantage of the homestead exemption, and that will help offset the fees of selling. I’d lean towards keeping it if you truly believe the appreciation is coming.

Being a remote landlord isn’t as hard as you think, it just takes a little bit of effort.

Sounds like a good plan to keep it, as long as the rent covers your monthly payment and it’s set to appreciate some more in the nearest future.

Related Posts

Currently in industry at 135k salary, poor healthcare, amazing wlb, a month of parental leave, work is okay.

Considering data science roles at :
return to Deloitte aim for SC in GPS
trying out EY GPS aim for SC
Gov job range is 100-120k and would need to negotiate up pto otherwise I’d for sure decline

-any perspectives appreciated

like

So I want to marry a physician (girl) as they make good money so I get a good life plus decent retirement. Is it selfish to marry someone for money???

likesmart

Hello, I am in CA and am looking into the acquisition of a broker’s book of business, either in full or a percentage of, and/or looking for someone to partner with on that endeavor. I’m licensed in life, accident and health, and would prefer it to be that. If anyone has any advice for me on how and where to start, or anyone they’d like to put me in touch with I would greatly appreciate it

like

Do any real estate lawyers out there know of/can direct me to a ROFO agreement to purchase commercial property? I’m working on one now (but using a ROFO to purchase equity interests as a basis) and would like to see what other people are doing. Finding a good one has been hard, as this kind of thing isn’t always required to be filed with the sec and every search I’ve done basically pulls up garbage. Also, are there any provisions you’d consider absolutely crucial from the owner’s side?

like

Does anybody work for Evolent / New Century Health? How is the culture? Any known layoffs?

like

Any consultants from Deloitte who can help to staff in a healthcare project? I’ve worked with healthcare clients for 10 years and relatively new to the firm.

like

Does relocation to touristic cities (workations) really work? I have experience working summer jobs in foreign countries and was thinking about doing that now, or at least plan for next year.

I am curious about the impact it has on the work/life balance as well as the mental health, after several years of doing the same position in different companies.

I am looking for permanently remote position that is no tied to US time zone or is subjected to European time zones(flexible hours).

Any recommendations of companies hiring for data analyst or junior data analyst positions?

My work place is and has been quite toxic and lately micro managing "everyone". My health can't take it anymore.


NEED RECOMMENDATIONS:
Companies hiring remote data analyst.

like

I am looking to break our of a bedside role into a remote nursing/Healthcare related role in the DC/MD/VA area. Most job opportunities I see are for case management and utilization review but I don't have any experience. Does anyone have any advice or job leads?

like

How does one get into trading from positions elsewhere in the bank? What would impress you most about candidates attempting to do so?

like

What’s the best credit card for points in the UK. I’m from the US and have the Chase Sapphire Reserve and the Marriott Amex

like

So my offer letter says I have return back the signing amount if I leave within a year. How does the math work-full rerun of 20k or post-tax deduction the any that I received ?

like

Solana 😭😭😭

I don't own any and it hurts.

Curious in seeing what people's avg cost basis is in this, when you purchased, and why?

like

Can anyone advise - if I did not file taxes for 2019 and 2020 is there a way I can file without receiving a penalty? I just didn’t file them no great reason. Nothing complicated and I probably owe a few hundred each year in fed taxes. Nothing crazy.

like

How long before switching job? I have 2 years of HR Experience (1 year from each job) and I want to get more money.

like

COO’s & previous SR. account executives…

I made it to regional manager for a franchise by age 22. Ran a successful financial practice & sold by the age of 33. Took 2 years off and built a health & wellness coaching platform for my wife (medical provider). Then, the last 2.5 yrs, have been a top producer in Saas sales as a senior account executive. I’ve been told I would make a great COO someday and I’m ready to take the next step into leadership. Who/what should I be targeting next?

like

Can wife claim husbands PAN for HRA? Flat is in the name of husband

like

Are there any real estate attorneys who have gotten into the title insurance business? What does that look like? Do you still carry on a private practice on the side?

like

Does Uber cash count towards minimum spend for credit card bonus. Thanks!

Has anyone considered moving from NYC to Houston? Any advice of why not to do it apart from the Texas heat. The homes are so much bigger and taxes much lower.

like

More Posts

Would someone be able to look over my resume and let me know if I would be a good fit for a role at Google? Just a little background I have 4 years experience, halfway through my MBA in Strategy & Analytics and a certified scrum master.

like

I am looking to leave my current position due to not having the opportunity to run campaigns and earn experience.
However, every interview I get asked about the campaigns that I have run.
This is starting to feel like a closed loop. Any ideas are appreciated.

I do create some personal campaigns and do social media content on LinkedIn for my personal profile. That is why I get a high number of interviews but I stumble at the starting line.

like

Hello Fishes,

I left capegemini on 4th of Feb and I still haven't got my relieving letter as well as experience letter. I'm trying to access my capegemini portal from
webvpn.capgemini.com but I'm not able to access that either. Please suggest me what should be done, my next employer is asking for relieving letter.

like

Will markets jump upwards the day Putin dies?

like

Hi @AIRBUS fishes, Can someone throw some light on the the different grades/designations ? I see E4 , Technology Lead mentioned in my offer letter.

like

Any thoughts on Peter Millar suits? Quality, look, wear over time, etc..thinking of buying a couple while on sale at Nordstroms

How much are other AGMs getting paid in fine dining?

I just started taking mirtazapine again b/c depression has completely taken over my life.

Not looking forward to the weight gain 😕

like

Hello let's like each other's post to build connection via DM!

like

Any one have info on Trust Strategy and operations associate at pwc? How is the work-life, what you do etc?

like

Likes to open DMs please!

Post Photo
likeupliftinghelpful

Can any Peraton 🐠 help me understand the level structure? I see a Senior Principal role I'm interested in but not really sure the comp and where it falls on the totem pole. TIA!

like

Does anyone know the typical salary for a 1st-2nd year associate at Lewis Brisbois in Los Angeles? L&E

Hi Folks
Just wanted to know how is Airbus as a company to join for a person from Sap abap hana technical?
YOE 4

like

I'm graduating in a few weeks, is to weird to send a holiday gift like wine or a Christmas Card along with my resume? I haven't been hearing back from the companies i have been applying to and I'm looking to stand out.

like

Looking for a job change, have 2 years of experience in sales and marketing. Any leads would help, please plmsg me if you can help. Thanks!

like

Successful commercial banking exists?

like

So anyone Opting In??

like

My team is forcing employees to visit office once a month even though in townhall they mentioned it is not mandatory . Is it happening across DHL IT SERVICES CHENNAI?

Additional Posts in The Real Estate Bowl

I’m graduating undergrad in May and want to do real estate investing long term. Is it worth it to get my brokerage license in the state that I’m moving out of (I would want to do out of state investing) or should I just take a general real estate investing class. The goal would be to grow in knowledge about all things real estate. Also, any advice on real estate investing for a beginner would be appreciated!!

like

Atlanta vs Savannah vs Tampa?

like

Hey hey all. I am writing a book on value creation in commercial real estate - from site selection to tenant management basically capture where industry experts see value lost or opportunities not captured. Anyone want to contribute to some insights ?

like

What are the mortgage rates you guys are getting? Best I’ve heard is 2.5% (30year fixed) curious if anyone has heard better?

like

Interested in starting AirBnB in SoCal.
1. Where do I start for gaining how to knowledge.
2. What’s are the best areas to buy the property for best cash flow and appreciation down the line.

like

What price per sq foot to investors start buying in the north ATX home? My home is on the market and not moving. Trying to understand at what price point does it become attractive to investors

I see two crowds these days. One thinks housing market will crash. The other thinks housing market will soar.

The contrarian in me makes me think this is a decent indication that housing market will stagnate (or increase minimally) for a few years.

As a general rules, I feel like the majority cannot foresee a crash/surge coming. The prevalence of such expectations would hamper the pre-conditions necessary for such a dramatic change.

likesmart

Is it better to have SFH for monthly cash flow or passive MF deals through a private syndicate? Friend told me that you need to have $1.5m invested in MF to generate 60k a year approx but it’s much better than dealing with tenants and maintenance. Just wanted to get peoples thoughts on becoming financially free through these two real estate methods

like

Need a recommendation for a solid real estate attorney in Columbus, Ohio. Someone who specializes in rental properties and evictions. Any help appreciated. Thanks!

like

I have significant equity in a property (300k+) and maybe another 200k across other properties. I have a decent amount of money in cash and already 200k or so in stocks. Would you consider pulling money through cash out refi and using it? I get nervous for stocks being so high. I have a few properties in pipeline already. How would you suggest using it (if at all).

like

Good evening all,
With my partner we are considering making a move to the countryside of Switzerland, with a gorgeous RE project offering incredible views on immaculate mountains and lake. However, it is far away, and will require 1h+ train/car commute vs. 10 min biking right now. We are scared it will bite us back at some point, although COVID helped w/ remote working being a new norm. The project will be done 2024, so I hope to have a more relax job by then. Any similar experience to share?

like

If u have a house under my name if i move it to an llc what happens? Do i refinance to prevent a due on sale clause?

like

For any of you real estate investors, what tools or sources did you learn from when getting started. Can’t find a mentor currently so want to find some highly recommended books or videos. If focused on the tri-state area (NY, NJ, Long Island mainly) that would be even better. My hope is to buy and rent out a apartment while also owning a house and house hacking that by renting part of it out. Trying to understand all the steps, traps, and how to find if it’s a good investment.

like

I recently bought my 1st home in TX. I want to get into real estate and eventually own/rent out multiple homes. Are there any good recommendations/tips on books/articles/websites that others have used to get started?

I've read about HELOC and cash out refinance to get a 2nd home but articles are so scattered that it gets confusing which is better in terms of tax benefits and immediate costs, etc. Anything others have found helpful that summarized how to get started would be great!

like

Thoughts on Fundrise?

like

Hi guys! Looking to learn about real estate investing! I am a senior in college graduating with a degree in finance so I understand certain aspects, but am looking to learn more on my own about real estate specifically!

What books would you recommend I read?

like

Looked at a house (new build) and MIL said the vinyl windows imply the whole house is probably made with cheap, shoddy materials. She thinks everything has to be wood Marvin windows or bust. Is she right? From my research vinyl has its pros too... as long as we aren’t paying like they are wood marvins. Any reactions?

like

I would like to learn more about development and real estate. Can anyone recommend any books or courses that you think are informative. Eventually I would like to own a few apartment buildings, but I know there is a lot I need to learn 1st. Any advice appreciated. 

like

Would you say Austin’s real estate market will go through a correction in 2022? I am considering there in a few months (wife and 3 kids) from a normal-priced city. While we can afford a house there, I am scared of getting into an extremely risky investment seeing such fast growing prices in 2021. I’ve read both bull and bear scenarios online and I’d like to get some “Bowl’s” thoughts. Thanks!

like

My SO and me are looking to save for our first home.. we don’t have kids.. any tips from you who may have saved for your first home? Did you aim for 20%? How long did it take? What kind of a home would you recommend buying first?

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the
Fishbowl app

See what’s happening in your industry
from the palm of your hand.

A phone with Fishbowl app

Scan your QR code to download
Fishbowl app on your mobile

Download app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy

Already have an account? Log in

Sign up for free to continue using Fishbowl

By continuing you agree to Terms of Use(New) and Privacy Policy(New)
Messaging rates may apply

Already have an account? Log in

For account settings, visit Fishbowl on Desktop Browser or

General

Legal