Author Topic: Rent first home or keep and buy new to rent?  (Read 1063 times)

Panchos

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Rent first home or keep and buy new to rent?
« on: October 31, 2015, 03:39:24 PM »
Afternoon!

My wife and I (plus 3 kids unders 4) have been in our first home for the last 7 years. It should be paid off next year. I've been debating on renting it out or staying put and buying a different home that would be better suited as a rental. There are currently two home across the street from us that have been bought and are being rented ($1300 and $1375 respectively). However, those homes are also about 600 sq ft smaller than ours.

I figure we could get $1400-1500/month as our home is 2000 sq ft. Our home is a two story with no walk-out basement. I would like to rent to an older person/couple if possible and don't think that would happen very easily given the layout of our current home. I'm considering buying a newer ranch and using that as a rental and keeping our current home.

Any thoughts?

MacGyverIt

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Re: Rent first home or keep and buy new to rent?
« Reply #1 on: November 04, 2015, 02:23:02 PM »
Why become a landlord rather than invest more into Vanguard accounts?

There's a money cushion needed and time required for land lording - do you have the financial padding for unexpected repairs? There have been other threads that have talked about the amount of time it takes to manage properties and to live in or near a rental (i.e. renters knocking on your doors at all hours). Things to consider with all those little ones!

Best of luck.

Mac