Had the same decision to make four years ago. Bought a new house and what do with the old one (doubled in value like yours)? Held on to it and rented because it was hard to sell homes at that time. In hindsight, I should have sold it so the income would have been tax free and I don’t have to deal with being a landlord.

Missed the tax free capital gains window now so I’m stuck with it being a rental. It did appreciate nicely though so maybe its a wash now.

But it sucks to be a landlord. Renter is two months behind on rent now. Maybe should have gotten a property manager to demand rent. Its tough to demand rent when you know they are doing their best to make the payments. Income from being a landlord is not good. I get about 3 percent on investment. I think you need a mortgage to make the numbers work better.

Now with house prices so high, I don’t see why you don’t sell. Unless the capital gains tax rules change, it would be huge financial benefit to sell now.