07-02-2019, 04:16 AM
I can't give you any advice when it comes to actual real estate investments. But I'll still happily share my thoughts on this matter on a more general perspective.
It seems to me like you've decided that you want a new home. So in that case, yes it definitely sounds like you should move. And from what I can tell, this very first property you mention is what you want. If it's what you want, you can afford it, and it's a great place for your family (you did mention safety and good schools) then it sounds like a good choice! I'd definitely say that a good home, and it's location, are very important when discussing quality of life.
I'd say make this "dream home" your priority. It may be a good investment, it may not, but if it makes you and your family happy then it's worth doing.
I'd also keep selling the current place on the table. Being a landlord may be profitable but it's also a pain in the ass when things don't go right. I have a family member who has always been wary of other investments and put everything into real estate. One of them totally backfired, one was a good investment but definitely brought a lot of head aches with a bad tenant, and the third one is a vacation home that is financially quite bad but overall a pretty decent move as he and other family members spend quite a bit of time there every year. Real estate can be profitable but it does come with "dealing with people" which is not always easy.
Main point with the above is that you if you want the property number one but you're a bit skeptical about the timing, selling the old places leaves you with significantly less mortgage and with less exposure to the housing market in that specific area. Personally I would be absolutely terrified of having a large amount of my capital tied up in real estate investments simply because diversification seems non-existent. I have no idea how much your current house is worth but it sounds like it would go a long way (even after taking care of the rest of the mortgage) into financing the new property or simply using it for investments.
Long story short: get the house that makes you and your family happy. But keep all of the options on the table. And I wouldn't bet on the rate cut happening, I just see no reason for it at this point.
It seems to me like you've decided that you want a new home. So in that case, yes it definitely sounds like you should move. And from what I can tell, this very first property you mention is what you want. If it's what you want, you can afford it, and it's a great place for your family (you did mention safety and good schools) then it sounds like a good choice! I'd definitely say that a good home, and it's location, are very important when discussing quality of life.
I'd say make this "dream home" your priority. It may be a good investment, it may not, but if it makes you and your family happy then it's worth doing.
I'd also keep selling the current place on the table. Being a landlord may be profitable but it's also a pain in the ass when things don't go right. I have a family member who has always been wary of other investments and put everything into real estate. One of them totally backfired, one was a good investment but definitely brought a lot of head aches with a bad tenant, and the third one is a vacation home that is financially quite bad but overall a pretty decent move as he and other family members spend quite a bit of time there every year. Real estate can be profitable but it does come with "dealing with people" which is not always easy.
Main point with the above is that you if you want the property number one but you're a bit skeptical about the timing, selling the old places leaves you with significantly less mortgage and with less exposure to the housing market in that specific area. Personally I would be absolutely terrified of having a large amount of my capital tied up in real estate investments simply because diversification seems non-existent. I have no idea how much your current house is worth but it sounds like it would go a long way (even after taking care of the rest of the mortgage) into financing the new property or simply using it for investments.
Long story short: get the house that makes you and your family happy. But keep all of the options on the table. And I wouldn't bet on the rate cut happening, I just see no reason for it at this point.