TorontoRealtyBlog

Category: Houses

Hi David, 

I have a detached home at Woodbine and Danforth. It has a basement apartment that I already rent out and is a five-minute walk to the subway.

I’d like to move in with my significant other, who rents a place downtown.

My question is: Should I sell the house and just invest the money elsewhere (my significant other isn’t ready to buy something together), or should I keep it and rent it out?

Hi Vic,

There’s an argument to be made either way here.

Keeping the property makes a lot of sense, given the current state of Toronto’s market.

It also makes sense to take the Money and run, given the 20% increase in values last year, and the constant calls from analysts that we’re in a bubble.

I’ve written a lot on my blog in the past week about Toronto’s future, and how I think despite all this bubble-talk, I think we may be in for continued gains.

In the end, it’s about your risk tolerance, your financial position, and then how you would like being a landlord long-term.

If you have another investment vehicle for the money, it could be a good time to take the tax-free capital gain.  But you have to balance that against a reasonable probability that we see continued gains in the market.
David.