I say take the new job and rent it out. I wouldn’t throw money at it to get out. Invest that money in a mutual fund, then revisit all in 2010. Being a landlord is good experience too (I didn’t say fun) and a one bedroom is easy to handle.
The quick math (monthly approx):
Interest $950
Taxes $225
HOA $150
Ins $ 25
Depn $800
Tax deductable total: $2150 (x 25% = $500 savings)
Prin $350 (not an expense)
Real monthly carrying cost = $850.
Rent (est) = $1000 (incudes 15% vacancy and expense allowance) covers the real cost, plus.
Not a good investment, but what’s done is done. Rents are likely to be stable and good areas like RB will rise over time. Getting a good tenant is key along with low interest rates.
