Is the move to PDX temporary or permanent?

If temporary, how long will you be there before moving back to OC?

If permanent, sell the house.

Bottom line: do you want to be a distant landlord? Do you want to get a call in the middle of the night that the furnace has gone out or a tree has fallen on the roof?

Only you know the answer to this.

My question is not about whether I want to be a landlord. I already do that for a living.

My question is about the financial decision of renting versus selling. Obviously, if the rental was too far away, I would not consider it. It's not that far for landlord duties. Just too far for a daily twice daily commute. Oregon City is not far from Portland and I'm not moving to Portland anyway. I'm moving to another area just outside Portland, just as Oregon City is. I just didn't want to add more details than necessary since location is not the point.

If you are planning to purchase in the new city, the lender will need to see two years of tax returns showing the income or loss from the rental before you can buy.

That is why I asked about the move being temporary or permanent. Your debt ratios increase when you own rental property. The rental income does not offset the mortgage payment dollar for dollar. The lender will use a 25% vacancy & collection right off the top. If you have a net loss, using their formulas, it will be added to your debt. If you have a net gain, it will be added to your income side. Not many can carry two mortgages on a single income. It's not impossible, but generally the allowed debt ratios will be exceeded and the loan denied.

Speak to your lender for specifics based on your actual income and debt.

My biggest concern- even if the rental situation/numbers worked out well- would be the continuing maintenance on an old/older house. That can eat into a pocketbook, and remember- if it's a rental, you won't be there, and will be obligated to fix anything major that happens.

I suggest getting with a trusted Realtor, and run the numbers. It may turn out that it makes no real financial sense to keep the property. Yep- your market is appreciating. If you can get out- even- that's more than most markets can provide in such a short ownership time.

Also chat with your mortgage company/broker about the things Denita suggests. It's very possible that they will change the terms of your loan, if this becomes a rental. Check your loan docs.

Then make a good decision. The fact that you're moving for better employment suggests you're "on the move". No worries- many, many of us have experienced that.

I would concur with ncrealestateguy. I realize you are an experienced landlord and income property is a good way to build net worth. Unless you are planning on renting in your new location, I wouldn't tie myself down to this property.

Sell it. Breaking even is fine. You're out nothing, and you won't have the headache of being a landlord for $100/month.

I’d rent it out, you would gain more than just $100 per month, build up your equity too, plus this rental property would also help you with tax return.

I am not an expert, but I did keep my apartment as a rental when we bought our house in 2016 without needing to show two years' worth of income or loss. However, I believe that between my husband's income and mine, we were still below the limit for debt-to-income ratios for both mortgages, so that may be why it wasn't a problem.

In my case renting is working out well so far, financially speaking. After paying the mortgage, taxes, insurance and all other fees, I net about $500-600 a month, but due to depreciation and other tax deductions, my tax bill on that income is almost zero. You would likely end up with a good sized deduction if you are only netting $100-200 a month. You'd also be building equity, especially if the market is picking up where you are (or you think it is going to pick up in the near future). The maintenance on an older home and the increased wear and tear from renters who may not care about your home like you do are big concerns, though. Will you be renting or looking to buy in the new location? If you're buying, do you have cash for a downpayment without selling this place?

In addition to lender, or AFTER the lender... maybe talk to accountant or some kind of financial person - its not clear to whether your analysis included all the tax write offs you would take - ie all the interest, insurance including HO & PMI, the property tax, the utilities, the repairs, supplies, etc. etc. etc. You could write off the cost of a management co. to manage it in your absence. If you were to get a nice $2000 tax refund every year that would be part of the big picture that you should look at.

You know I just finished writing that paragraph and just remembered that they changed all the tax code - which I havent wanted to even look at yet. Interest no longer deductible for single family homeowners but what about what landlords pay on their rental properties?

If you’re successful at Airbnb wouldn’t you be better off cutting loose this questionable investment holding, absorbing any loss or small gains and focusing your available time, resources and talents on your Airbnb business?

A caution on the Airbnb's. Because cities are not receiving taxes and the number of complaints from people living near them some cities are clamping down on them. There are several areas that our city council have voted to ban them. Couple of lawsuits have put the bans on hold for now.

Interest no longer deductible for single family homeowners

Are you sure about that one?

He/she is mistaken. Upward limit or Single Family now$750K vice $1M and Standard Deduction significant increase might cause someone to chose not to take Interest Deduction... unlikely on a larger mortgage balance.