We're moving but have a $3 million home with a $1.2 million mortgage at 2.5% - should we rent it out or sell?

Homeowners face a dilemma of whether to sell or rent their existing properties when moving to a more expensive home. This discussion is particularly relevant for a Reddit user planning to purchase a $3 million home while sitting on a property with a low 2.5% mortgage. This advantageous mortgage rate makes renting appealing; however, potential landlords need to weigh the workload and unpredictability involved in managing rental properties. Balancing two mortgages is feasible if finances align, but it’s essential for homeowners to assess their readiness and resilience in handling landlord responsibilities.

The low 2.5% mortgage rate on the existing home makes the case for renting more attractive, allowing the homeowner to benefit from two properties instead of selling.

Being a landlord isn't for everyone; the associated work and unexpected expenses are often underestimated, making it important for prospective landlords to assess their situation carefully.

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