Should I sell my house?

Are you in a tourist area, big city or a college town?

If so, I would Airbnb your house for 6 months. (Then thank me for the advice later. )

If I'm wrong, sell it and you've likely lost nothing. If I'm right you will wanna keep it forever.

We've talked about Airbnb a lot around here lately, but we make more in 6 months on our 2nd home then we make in a whole year renting it outright.

Airbnb includes $1M in insurance in their fees. (Fees which are much lower than a property management company would charge to handle your rental btw)

 

Seems to me you are waiting or hoping to get married and start a family. Given your current mortgage my answer would be wait until you're married. Move in with her and if things go bad then you're up a creek looking for a new home.

 

I wish it was that easy. There are commercial buyers in Florida loading up on starter homes to rent. It’s become big business and sometimes a nuisance as they don’t care about what occurs with the renters as long as they pay their rent and not damage the house.

My condo is for sale. I’m looking at moving into a neighborhood, into a used home. I will pull all the public owner records and check to see if there are any rentals. From talking with realtors Im finding out the 100K to 250K homes are being bought by commercial entities for rentals. I would caution anyone in that price range to check the neighborhood out before buying. The lack of new, starter, and used homes has a lot to do with the commercial sector.

No reason why an individual can’t become a landlord. If not then they will do it for you.

It is what it is.

 

Respectfully disagree that “it is what it is.” I hope that more HOA’s ban corporate owned housing and rentals…

HOAs and legislators consider taking action against real-estate investors

 

Services like Zillow and Redfin are good for coarse estimates of areas. But they are usually way off if you're actually looking to buy or sell a specific property. Talk with an agent since most of them have regression analysis that will get you far closer to the true value.

 

My Father in law is a real estate appraiser. He'll tell you the Zillow valuation is worth exactly how much you pay for it! ha

 

Rent it out if you aren't moving from the area. Be selective and pocket the profits. You can sell it in 3 years and still not pay capital gains.

 

Agree with this. If this was a second home, the advice might be different. This is your home, though. Probably best to hold onto it. Even if the bubble bursts, it will eventually come back up. The only reason to sell now would be if you really needed the cash.

 

All these love haters. Sell it, pocket the profit, move in with GF, go to casino and let it ride on black. What could go wrong?

 

Given what you have said I would hold it and rent it out. If you want to “do good” for society then find a nice responsible young couple and write up a nice lease-option agreement with them. I would generally go this route unless you have an excellent investment opportunity with the equity that you walk away with. I would not sell thinking you can put the money in the stock market and do better.

Real estate markets are all local, but historically in times like these prices soften a little bit as inflation and interest rates eat away at spending power and the lag where salaries do not keep up with inflation. I expect a general softening in prices for the next several months to a year. But after that prices will climb and you will be glad you kept the asset.

If you have no interest in being a landlord (it’s not all wine and roses) then sell and buy that ten acres to build on later in cash.

Good luck with your decision!

 

I’m assuming you got a pretty good rate in 2017. If the house is in a good area (safe, decent to good schools, potential for growth) and in good structural condition, then you were able to secure a good asset at a good price and excellent terms (historically low APR).

You don’t sell good assets unless you are very confident you can secure even better assets with that profit. Keep the asset, rent it if you want to move. Leverage it for cash through refi or heloc if/when it makes sense.

In 10-15-20 years you will be very glad you didn’t sell.

 

Id like to see the HOA bans also. But as of now it is what it is.

Many subdivisions don’t have HOAs.

I think if the state, county, city, or local town tried it a legal challenge would prevail.

 

Can confirm on HOAs taking action. The neighborhood I'm in voted 70% in favor of adding the following to our declarations earlier this year because of corporate rentals and AirBNBs.

Grandfathering. All Owners prior to Feb. 1, 2022 are exempt from the 15% leasing or rental cap, the minimum leasing duration of 6 months, and the 12-month ownership requirement. New Owners as of Feb 1, 2022 must comply with the entirety.
• Maximum Leases Allowed. No more than fifteen percent (15%) of the Homes shall be Leased at any given time.
• Minimum Leasing Duration. Any Lease must be for a term of at least six (6) consecutive months unless approved by the board. Short term house swapping, renting or leasing arrangements are specifically and expressly prohibited.
• Ownership Requirement. New Owners as of Feb 1, 2022 may not lease the Home until the expiration of twelve (12) months from the date of the closing.
• Partial Rentals. Homes are only leased in their entirety – exceptions require approval.
• Registration and Compliance. Landlords must submit lease agreements and a “tenant registration form” to the HOA, and the HOA may charge a reasonable review and processing fee.

 

Get three estimates of value from prominent brokers before landing on a price. Do it even if you don't sell.

The market has cooled a bit as interest rates have risen so people who cannot pay cash can afford less house. My girlfriend sold at the height of the market and made 80k over asking, but recently asking prices are dropping where I live. (in the USA, not Mexico)

The flip side of high rates is that you can safely invest your house monies and buy again with more. If you can be patient and don't have to move quickly.

Even with rents ridiculously high, I will never own again. I love the freedom of renting..

 

Keep and rent.

 

I agree, keep the house, rent the girlfriend

 

Varies on the situation, but in average I would

1. Avoid selling and permanently moving in with girlfriend
2. If you have a low mortgage rate one more reason not to sell
3. Renting could be an option but depends on the economics and to what degree you wish to be a landlord.

 

Renting is fine as long as ur good being a landlord and getting a late night call when something breaks, not to mention doing your due diligence to find a good tenant in the first place. Also be prepared for fixups when the tenant leaves. U have time for all that?

There are also tax considerations owning rental property. Of course u might choose to ignore those like many do.

If u breakup with the gf, you're on the street, house is rented. Finally, sounds like the future of the military base is something u would want to follow closely either way.
Good luck, especially with the GF. Hope she is a keeper.