Tell me what to do

[paramount]

TG: You described my situation perfectly except for one difference: we are not rent neutral.

At best I believe we could rent our house in the 1400-1500 range.

My neighbor rented and the renters have already stopped paying rent.

Isn’t this time truly different though? In previous cycles, was there massive fraud going on – with all of these crazy loans?

Having bought in past cycles, those cycles seemed to be due to normal “natural” economic cycles.

[carlsbadworker]

I think since you asked this question, no matter what you decide, you are likely to regret later.

If you sell it, eventually the price will come back up (as well as the rental price), so from the long term financial point of view, 150 x rent-price is not an attractive price to sell. If you rent it, managing the rental business 3000 miles away would be much harder than you currently believe.

Generally, I think it’s the best time to establish rental property when you move. However, in your special case, I will probably take that $20-30K relo package. I like hard cash better than future prospective given that you are not yet ready to be a landlord whereas coping with your new position and new city would already be hard enough for you.

[carlsbadworker]

I think since you asked this question, no matter what you decide, you are likely to regret later.

If you sell it, eventually the price will come back up (as well as the rental price), so from the long term financial point of view, 150 x rent-price is not an attractive price to sell. If you rent it, managing the rental business 3000 miles away would be much harder than you currently believe.

Generally, I think it’s the best time to establish rental property when you move. However, in your special case, I will probably take that $20-30K relo package. I like hard cash better than future prospective given that you are not yet ready to be a landlord whereas coping with your new position and new city would already be hard enough for you.

[carlsbadworker]

I think since you asked this question, no matter what you decide, you are likely to regret later.

If you sell it, eventually the price will come back up (as well as the rental price), so from the long term financial point of view, 150 x rent-price is not an attractive price to sell. If you rent it, managing the rental business 3000 miles away would be much harder than you currently believe.

Generally, I think it’s the best time to establish rental property when you move. However, in your special case, I will probably take that $20-30K relo package. I like hard cash better than future prospective given that you are not yet ready to be a landlord whereas coping with your new position and new city would already be hard enough for you.

[carlsbadworker]

I think since you asked this question, no matter what you decide, you are likely to regret later.

If you sell it, eventually the price will come back up (as well as the rental price), so from the long term financial point of view, 150 x rent-price is not an attractive price to sell. If you rent it, managing the rental business 3000 miles away would be much harder than you currently believe.

Generally, I think it’s the best time to establish rental property when you move. However, in your special case, I will probably take that $20-30K relo package. I like hard cash better than future prospective given that you are not yet ready to be a landlord whereas coping with your new position and new city would already be hard enough for you.

[carlsbadworker]

I think since you asked this question, no matter what you decide, you are likely to regret later.

If you sell it, eventually the price will come back up (as well as the rental price), so from the long term financial point of view, 150 x rent-price is not an attractive price to sell. If you rent it, managing the rental business 3000 miles away would be much harder than you currently believe.

Generally, I think it’s the best time to establish rental property when you move. However, in your special case, I will probably take that $20-30K relo package. I like hard cash better than future prospective given that you are not yet ready to be a landlord whereas coping with your new position and new city would already be hard enough for you.

[carlsbadworker]

By the way, if you it rent out, I think you should be prepared to lose money on it for a while. One, the rental price is still declining in the valley. Two, I just don’t believe a property can be called cashflow positive if the rent just covers PITI. You have to factor in vacancy, management fees and maintenance costs (of course, as TG points out, it probably does not need major maintenance in a few years). But that’s probably just a few thousands a year, I myself don’t mind losing a few grands a year on investment if I have a decent job. Eventually inflation will kick in. 30 years from now, rents will be much higher and you won’t have the mortgage anymore.

[carlsbadworker]

By the way, if you it rent out, I think you should be prepared to lose money on it for a while. One, the rental price is still declining in the valley. Two, I just don’t believe a property can be called cashflow positive if the rent just covers PITI. You have to factor in vacancy, management fees and maintenance costs (of course, as TG points out, it probably does not need major maintenance in a few years). But that’s probably just a few thousands a year, I myself don’t mind losing a few grands a year on investment if I have a decent job. Eventually inflation will kick in. 30 years from now, rents will be much higher and you won’t have the mortgage anymore.

[carlsbadworker]

By the way, if you it rent out, I think you should be prepared to lose money on it for a while. One, the rental price is still declining in the valley. Two, I just don’t believe a property can be called cashflow positive if the rent just covers PITI. You have to factor in vacancy, management fees and maintenance costs (of course, as TG points out, it probably does not need major maintenance in a few years). But that’s probably just a few thousands a year, I myself don’t mind losing a few grands a year on investment if I have a decent job. Eventually inflation will kick in. 30 years from now, rents will be much higher and you won’t have the mortgage anymore.

[carlsbadworker]

By the way, if you it rent out, I think you should be prepared to lose money on it for a while. One, the rental price is still declining in the valley. Two, I just don’t believe a property can be called cashflow positive if the rent just covers PITI. You have to factor in vacancy, management fees and maintenance costs (of course, as TG points out, it probably does not need major maintenance in a few years). But that’s probably just a few thousands a year, I myself don’t mind losing a few grands a year on investment if I have a decent job. Eventually inflation will kick in. 30 years from now, rents will be much higher and you won’t have the mortgage anymore.

[carlsbadworker]

By the way, if you it rent out, I think you should be prepared to lose money on it for a while. One, the rental price is still declining in the valley. Two, I just don’t believe a property can be called cashflow positive if the rent just covers PITI. You have to factor in vacancy, management fees and maintenance costs (of course, as TG points out, it probably does not need major maintenance in a few years). But that’s probably just a few thousands a year, I myself don’t mind losing a few grands a year on investment if I have a decent job. Eventually inflation will kick in. 30 years from now, rents will be much higher and you won’t have the mortgage anymore.

[NeetaT]

It just means that your next home purchase will be at a depressed price, which is good for you the buyer.

[NeetaT]

It just means that your next home purchase will be at a depressed price, which is good for you the buyer.

[NeetaT]

It just means that your next home purchase will be at a depressed price, which is good for you the buyer.

[NeetaT]

It just means that your next home purchase will be at a depressed price, which is good for you the buyer.

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