Should we sell our condo or try to create cash flow with it? - Posted by Walter Nirenberg

Posted by Walter Nirenberg on May 24, 1999 at 24:23:17:

Hi,

I’m completely new to any of this stuff so please bear with me. We owe around $102,000 on a condo which we currently rent out. Our total monthly payments including the mortgage, taxes and association fees is around $1,200. The rent we collect is $975 which leaves us with a negative monthly cash flow of $225.

The rental market here is now strong enough to raise the rent to $1,050. That still leaves us with a negative cash flow of $150/month.

We don’t want to be landlords any longer. We can currently sell the condo for what we paid for it - $130,000 - back in 1991. If we sell the condo ourselves, we could realize something like $25,000 in our pockets. That’s been our current thought so far.

Is there someway we can sell the condo but act like a bank to the buyers and create positive cash flow from this situation? Or should we just sell the unit and take the cash?

Thanks a lot.

Walter Nirenberg
waltern@primenet.com