Hi all,
This is my first post on here so please be gentle.
I currently own a co-op in NJ which I just moved out of to live in my new house in Long Island (2 family, big property and I will save money every month over what I was paying previously - very mustachian). I was planning on renting out the co-op because I owe more than I would get if I sold it. My question is would I be better off taking a loss and selling it as it has been 2 months and I still don't have anyone to rent it.
Here's the math:
Purchased the co-op in 2008 for $182,000 and put about $15k of renovations into it over the years (so all in $197,000)
Mortgage: $734/month, maintenance: $1100/month, insurance: $20/month
Listed to rent at $1800/month - no takers yet
Most recent comp is $159,000, but lots of co-ops in my complex have sold for much less (as low as $84k) over the past few years due to people just dumping them.
If you were in my situation, what would you do? Is it better to take a possible 60k loss now or deal with renting it out every year and deal with a possible monthly rent loss and also month to month I would have to possibly put out $200 or so to break even in hopes that the market improves greatly.
As an aside, renters need to go through board approval, pay a $500 application fee and I need to pay $500 each year to the co-op that the apartment is rented.
Please help!
Thank you.