If this is the wrong place for this post, please let me know.
Thanks for taking the time to read this. I'm looking for some help in regards to my condo. I'm looking to move out within the next couple months, and am looking for a little input/advice from someone other than myself.
Original Purchase Price -$220,000 in 2008
Currently owe – ~$125,000
Probable sale price – ~$155,000 – $170 ,000
If sold, $30-$40k minus realtor and closing fees will be coming back to me. The property would be sold at a $55-$65k loss.
15 year loan at 2.875%
Monthly payment with Escrow – $1643.25
Monthly HOA – $179.38
Total Monthly – $1822,63
Potential Rental Rate
Rough Refi numbers
~$2000 closing costs(may be able to put into the loan)
30 year loan at 4%
Principal and interest – ~$605.72
Escrow for taxes – ~$500(Will go up if I rent. I will lose homeowners exemption.)
HOA – $179.38
New Total – ~$1120.72
My building is in Illinois in the Chicago burbs. It allows 25% of the units to be rented, and I am now eligible to rent my unit. If renting is the better way to go, I need to refinance to a 30 year loan. I know that mortgages for rental properties have higher fees and percentage rates, so I'd need to find a primary residence loan that doesn't stipulate the amount of time I need to reside in the unit. I absolutely do not want to commit mortgage fraud. Do these exist?
I don't know the specifics about being able to write off losses on investment properties. I do know that losses on primary residences cannot be written off. This was another reason I was thinking about renting.
There are no units currently listed for sale in my building. 3 units just sold in the last couple months with prices on the rise. I don't see prices going much higher in the next year or so.
If there is any other info you need, please don't hesitate to ask. Thank you much for your time and advice. I really appreciate it. I will crosspost this to r/personalfinance as well.
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