We just got a loan mod on our rental property. We owe 206,000. payments PITI = 1530 a month. Rental Income 1500 a month. Tax write offs about 3500 a year. It is stressful, but breaking even. A short sale may not be accepted and if not, we will have lost our renters and the loan mod in the process and end up foreclosing. What think ye?
should i keep my rental property
Sorry no one has responded yet. Its a hard question to answer without knowing your whole financial picture. If you're doing alright otherwise (have savings, not accumulating additional debt), I'd hang on to it. Eventually the market will go up, rental prices will rise, and it'll be a nice investment for you. You don't want a SS/foreclosure on your credit report if you can help it. Then again, if it's causing you constant stress and you're already over extended, I'd probably go for the short sale/foreclosure. How long have the renters been there? When it's time to renew the lease maybe you can raise the rent $50 so at least it's covering the payment?