I have a duplex (also stable W2 income), when its fully rented I end up with about $500 NET cash monthly plus principal pay down. It has a vacant unit right now and the applicant pool is obviously past peak....
There are other risks to this building: my other long term tenant give me cause for concern, they're setting themselves up to cause my trouble some time in the future, although they currently pay on time and are courteous. There is deferred maintenance, maybe $10-15k worth if I was to handle all the nonurgent things. There are trees on the neighbors property that could be a problem for me.
I'm wondering if I should sell it now with a vacant unit or hold and just grind until I find a new tenant for the vacant unit. If I did this, I would probably have to devote a year or two of proceeds to the deferred maintenance.
Selling should net me 90-100k cash, or a little more if I 1031, but I don't know what I would 1031 into.
Obviously holding is always going to be the better option if looking at just the numbers over the long term. Short term, it would be a deleveraging of my overall position; I wouldn't be replacing it with another investment, I would be paying off other debt.
TLDR; hold rental property for $500 net/mo minus deferred maintenance plus responsibility or sell for $100k cash to de-lever and pay off debt (or 1031 but not sure into what)?
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source https://www.reddit.com/r/RealEstate/comments/16uc8v3/sell_duplex_or_hold_looking_for_opinions/
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