So we're moving (hopefully) next Spring, halfway across the country. We're unsure what to do with our current little house. Sometimes it seems really smart to turn it into a rental, and other times it feels like we can't afford that risk.
We don't have any investments, and thinking that this would be payed off in 13 or 14 years seems like a good decision for our future income.. We also are basically living paycheck to paycheck. We've had a lot of transition lately, and are hoping to be up-on-our-feet again by next summer. But once the house is sold, it's sold - feels so final, and would hate to look back and regret it.
I have no idea how long it would take us to come up with enough money to put down on another house and that's the biggest issue (and probably a no-brainer to all of you) -- but I look at the $300-$350/month we'd get above paying the mortgage and can't help but see that as a loss if we'd get rid of it.
We don't know enough about all this renting/selling/owning stuff to really make an informed decision. Any input will be greatly appreciated. I like the idea of renting out, and have to start somewhere, right? :P
So here are the numbers:
Market Value: 87,000 - 90,000
Original Purchase price: $97,000
Original Mortgage Amount: $45,000 (refinanced early 2013)
Interest Rate: 3%
Mortgage Term: matures in 2028
Term remaining: 163 more payments
Amount remaining on mortgage: $41,474
Gross Rents: We're estimating we could get $750-800/month based on what other properties are going for around here
Principal and Interest (the P&I of your PITI - should match with the above info): $449.62
Taxes and Insurance (the T&I of your PITI): Interest YTD is $740.. I need to get the real number on this one.
HOA costs: none
Deferred maintenance notes: recently put a lot of money into new furnace and a new water heater