Expert: Dottie Worthington - 4/12/2010

Question
QUESTION: Hi sister Texan..We own a home in Ricmond, Tx which is paid for and had been renting for the last 6/7 yrs. Now the renters have moved out..The home was built "custom" in the 60's on two beautiful acres an an excellent school district.  We own a house and condo that are not paid off.. I would like to sell because this house needs alot of work the renters did not take very good care of it.. It is on a septic tank which we have put alot of money into, needs galvanized pipes replace hopefully to pvc,,lots of money.. now I will had to pay power and yard maintenance ect. Husband wants to rent again "this is a 3000 sq two Half story with attached garage.. says he will lose 50% and want to hang on to it for retirement so he can build a mountain retreat..Wow,, I think we should sell and pay off this house and the condo..what say you...please help,,i am the one taking care of it all..also will need some remolding, tile, carpet, ect just did about 14,000.00 in remolding do to a broken water line in attic, so nervous that will happen again..
Helen

ANSWER: If you are asking should you sell the house in Ricmond, that is paid off, I would say yes.
Then pay off your other two. Let me know if I can help with that.
dottie@worthington.bz

---------- FOLLOW-UP ----------

QUESTION: Thanks Dottie for the reply,, however, I was hoping to get your advice on the pros and cons of selling vs keeping...I already know that I want to sell it and I don't have back up as to why...Thanks for your advise..
Helen

Answer
You are paying interest on the other two loans. If you don't have the time and money to fix the home that is paid for, then I would sell it and pay off the two houses that are charging interest, out the rest of the money aside to earn interest. Have less worries and a stash for a downpayment on another investment property that doesn't require fix up.