Reply to Should I sell my house or rent it out?

Forum Index » Money and Finances

Reply to "Should I sell my house or rent it out?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous]I've read some retirement forum comments that say real estate is the way to grow your net worth and is always a good investment. I disagree for the reasons that PPs have mentioned, but maybe that's why I'm not rich.[/quote]Well, just do the math. In today's dollars (inflation adjusted), OP can expect to get $2k/month rental income (assuming management co) and retain the property, or 4% return in the market on $600k from sale. Over 25 years, that's $1.2M rental income plus retained property value, vs about $1.2M in the stock market. It's about even either way.[/quote]

But with the house they have to put on a new roof ($15K), fix leaky pipes and the damages it caused since it's an older home ($10K), paint the exterior/new siding ($10-12k), all new plumbing fixtures every 10-15 years ($10K), new furnance/AC ($10K), new fridge, new dishwasher, etc....with renters you have to pay a premium and have them done immediately---you can't wait a month to fix the AC to get a better price. [/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics