Hey there! So, I’m in a bit of a unique situation and could really use some advice. I live in this town outside Nashville, TN, and I’ve got this townhouse that I bought for $129,000 back in 2011. The thing is, I’ve already paid off the mortgage, so that’s not a factor anymore. According to Redfin and Zillow, the current value is somewhere between $325,000 and $350,000. I’m really keen on moving closer to the city because my commute has turned into a nightmare, thanks to all the new development without proper infrastructure. It’s time for a change for the sake of my sanity.
Now, here’s where I need help. I want to use the money from selling or renting out my current place to fund the down payment and mortgage on a new home closer to the city. I’m torn between keeping my townhouse as a rental property for a steady income stream or selling it for a lump sum. If I go the rental route, I’d definitely hire a property management company to handle everything. On the other hand, if I sell it, I won’t have to worry about capital gains tax, but I’d lose that benefit if I wait too long.
I’m leaning towards selling it, but I don’t want to rush into a decision and end up regretting it later. I have a soft spot for my townhouse, but I need to think about what’s best for me financially in the long run. I’m open to any thoughts, opinions, or advice on this dilemma. Hit me up with your insights!