Need A Direction.. From An Experienced Investor.
I am in a position where I have awesome credit ( above 750) and access to 30,000. Soon my house will be built and I will now have a house to.sell, rent, lease. What do I do with it?????I have been reading searching, and buying books. I am on info overload. Investor............if..if you were starting again and in my situation...What would you do!!!!!!!!
Thanks for your time. ~Chantelle
Look at the value of your current home and figure out the current rent rate. If you home is in the middle or lower end of the market your rent can justify the mortgage payment.
If you have a lot of equity and you've lived in your home for two of the past five years, you can sell your home and your capital gaines tax will be excluded up to $250,000 if you are single or $500,000 if you are married. This totally tax free gain and you don't even have to file anything about it on your taxes!
Figure out your goals of what you are looking out of real estate investing. If you are simply wanting to know what to do with your current house and nothing more, I might say sell it. However owning one rental property will give you some experience if you are looking to get money from the bank to fund future projects.
There is so much to say and you have a pretty vague question. Read Rich Dad Poor Dad and Cashflow Quadrant both by Robert Kiyosaki.
Good luck!
A guy in my REI group was in the same situation. He sold his house on an Agreement for Deed/ Land Installment Contract....
Got 30K from the buyer
Collected a payment each month from them which was more than the existing payment.
Made the buyer refinance the house in their name in 2 years, made another 60K.
you have options, if you have equity that you will be taxed on, consider a 1031 exchange.
Just my 2 cents.