I enjoy this forums and I need some advice.
Currently what I owned the home is located at South San Jose, Lennar Avenue one. SFH. 4B 2.5 bath. Purchased at 2015 889k(loan left 676k) and my neighbor’s home(same plan) sold around 1.2M.
Our maximum down payment is around 800k based on pre-approval. Bank said you can go 1.8~2M. This is based on keeping first home, not selling. Also bank calculate renting out as $3950.
The rent estimate $3950 by bank and my mortgage is $3201.48, HOA $241.32, and property tax $1,3542.72. So negative $47,400 vs 54,856.32.
My question is that should I keep current home or sell it added more down-payment or go higher home for future family growing? The motivation is moving decent location which has decent school. I am not looking for 10/10/10. 8 above is fine for us. We don’t have kid yet.
I know there is no clear answer because it really based on each individual situation, promotion, baby, moving to another company, etc? But I really want to ask keep first home buying 1.8M below is better option in terms of cash flow?
If keeping first home is better choice, what is best way to make first positive cash flow, refinance with adding more down payment?
In terms of commuting, my work place is santa clara, my wife near at north san jose, so we do car pooling.
Campbell and Cambrian park I like it but always fight with my wife about home quality. My wife prefer newer home…