- Bought for $190K (2005) now has a 5% fixed 30 year FHA loan refinanced (2013).
- Mortgage monthly cost: $1,300 total [~800 loan / ~500 tax/ins/PMI)
- Monthly rent income: $1,300 total [$1,300 rent -100 credit for property upkeep - 100 property management]
- Net: 200 loss each month out of pocket
a) Should I sell this house? I may get $25K out of the house if I can sell for 175K worst case (160K - 135K balance - 15K realtor fees.)
- I have other debt I could pay with this cash.
b) Should I refinance this house as an investment property? Refinance at 4.5% with monthly payment of ~1,050 - with 75% loan at appraisal of ~$190K with 2,800 closing costs rolled into loan.
- Doing this I don’t have to pay any money out of my pocket and earn 50 bucks a month.
c) Should I do nothing?
- Continue paying $200 dollars a month on current loan terms.
d) other options?