Vincent Ekuban, Broker/Owner Exit Realty Enterprises
If you have enough equity in your home to pay off the current mortgage and cover all closing fees if you sell then I would suggest you give serious consideration to that route. Almost assuredly your house in much better condition now than it would be after several years of renting. And even if you socked away every dollar of profit you made from renting (assuming that there is a profit), you would likely use all of it and then some to restore the property back to show-ready condition in order to sell later.
Although it may be inconvenient to sell first and then buy and have to move twice, that is typically the cleanest and simplest route, giving you more buying power and maybe even some money to put towards the new place. And as inconveniences go, there are those that you can control, such as moving, and those that you canâ€™t, such as tenants.
I have worked with many people in your situation and Iâ€™d be happy to review your options with you. Feel free to give me a call.
Lisa Miller Scott
Sellstate Dominion Realty
You're already received good advice below. I would connect with a great lender and Realtor in your area that can assist you with this process.
Here are a couple of great lenders to contact:
Real Estate Mortgage Network, Inc.
O: 443-333-8800 ext. 108
Equity Resources, Inc.
Of course if you need a Realtor in the area, we'd be happy to provide you with a free consultation.
As far as your current home if you don't have 30% equity you will need a history of being a landlord. Most lenders will want to see that you claimed rental income on your tax returns before using rent.
Call me if you have questions.
You should talk with a lender regarding purchasing and renting out your current home - there are guidelines that they use with regard to how much you owe and how much rent, if any, can be used in qualifying you for a new home. Please feel free to email me at email@example.com and I can put you in touch with a lender.