I'm in a position to sell or rent some property. If I sell, I may break even; this is a buyer's market where the property is. However, the neighborhood seems to be declining, but not drastically. House values have not risen much in about 7 years.
I am wondering if I should lease in hopes that house values will eventually rise over time. Rents don't go much over my housenote in the neighborhood, plus I'd have occasional maintenance and the hassle of dealing with tenants and a property management company. I could take some cash and pay off more note to reduce it so more rent would go in my pocket.
Or if I should just bail and let someone else buy the property? How do you decide? This is a big decision, and I'm sure others have been in my shoes. Can you give me some good advice?
2006-08-23 11:26:39 · 6 answers · asked by x 5 in Business & Finance ➔ Renting & Real Estate
Repeat after me: Past performance is not indicative of future results!
Now there are a lot of factors that could mean your market is ripe for a resurgence. There are also factors that could mean your market is toast. There are some of each right now. My *guess*, based upon your description is that the real estate market you're in has nothing special coming in the way of investment return - but there's a lot of missing info that could change that. Economic outlook. urban expansion. special projects. etcetera.
From reading your question, my belief is that you already know what you've decided to do. I suggest you do it.
2006-08-23 12:26:42 · answer #1 · answered by Searchlight Crusade 5 · 0⤊ 0⤋
It's a big decision. One advice I could give you is try to keep track of the fundamentals - supply and demand.
There are some serious (record-breaking) inventory issues in America at this moment, and it looks like it's going to get worse (more inventory).
Also watch out for dishonesty from biased interests. It's always " a great time to buy" when your livlihood depends on making a sale. Consider reading housing bubble blogs to get a different opinion than the MSM (mainstream media) and get a fuller picture of what's actually happening out there.
2006-08-23 11:55:24 · answer #2 · answered by AntiDisEstablishmentTarianism 3 · 0⤊ 0⤋
If your property has not risen much in value in about 7 years (since 1999), you are living in the wrong area (from the investment's standpoint, that is.)
Hence my recommendation is for you to sell the property, rent one to live in, and invest your money elsewhere, either in stock/bond or in real estate properties elsewhere.
2006-08-23 11:36:59 · answer #3 · answered by Novice 4 · 0⤊ 0⤋
You should of sold last year....not very many buyers out there now and they are waiting for you to cut the price in half. the bubble is bursting and lower mortgage rates won't even save it this time.
2006-08-23 12:07:55 · answer #4 · answered by -* 4 · 0⤊ 0⤋
Sounds like you answered your own question in the first paragraph.
2006-08-23 11:33:34 · answer #5 · answered by educated guess 5 · 0⤊ 0⤋
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2006-08-23 11:58:19 · answer #6 · answered by Anonymous · 0⤊ 0⤋