Lender advised us that we can have two mortgages...

[frugalQ]

lemmus...you've scared even me.  ROFL

i'm thankful that we got a good tenant.  she was a referral from a friend who owns several rental properties and didn't have any vacancies.  we are doing everything on our own.  I kept our home warranty insurance to cover any home repairs, and put in the lease that the tenant had to get their rental insurance through us....we pay the ins agent, and she pays us as a part of the rent.  

we also set up payment of rent so that it's an electronic transfer that can be done online.  we have not had any issues...the tenant is great and has told us that she would like to stay as long as we will allow her to, which is fine with me....we will sell it as soon as she decides to move.

[Anonymous]

How long have you done it for? 

Do you do most of the stuff on your own?

[ezdriver]

Since your current house is "under water" but you qualify for the new home, my recommendation is that you focus on moving on  with your life by buying the new home and renting the other. You can reconsider selling it every time the rental contract approach expiration. Remember that savings is about paying for your life's needs. Consider that owning a home for your family is also about life's needs.

All the best to you.

[Lemmus]

...frugal ...didn't mean to scare anyone ...just point out that the wrong tenants can be hell ...but good tenants are a treasure ...we had one family rent for almost 15 years and never had a single problem with them ...house was in much better condition when they finally left than when they moved in ...but it only takes one rotten egg, eh

...finally went to using a property mgr and it was like day and night

[Anonymous]

That's true. After reading this and everyone suggesting we just rent the place out, we have been doing research and calling around asking questions. Seems like this is the best option.

[Anonymous]

I just spoke to a PM and she said the same thing as you. She also mentioned right now is a good market and there many looking to rent as well. She gave me the estimate rent in the area and she said my home fits right in there. She really believes it will work.

I'm going to keep calling around and do more research.

Any more advice please share. Thank you.

[Lemmus]

...ask for references and check them carefully ...look for many years in business ...check your local BBB as well ...as in any business, there are scumbags who take your money and run ...trying not to be negative, just don't want you to get burned before you reach first base, eh 

[Anonymous]

Thank you for the tip!

[inthewoods]

Did you sign a purchase agreement without a contingency on selling your current home? You have a regular financing contingency, at least, right? I think you should try to find a way to exercise a contingency.

I really don’t think it’s a good idea to carry two mortgages, unless you are very confident you can find reliable long-term renters and that you eventually will be able to sell it without a short sale. Though, I guess you have decent financial margins, given that you think a bank will deem you capable of covering two mortgage payments.

How important is it for you to move right now? Are you moving for work, family, or …? Would it be practically possible for you to stay in your home until you have saved up enough to avoid a short sale? If not, you might have to buy a house now, since banks may be less inclined to lend to you following a shortsale.