Should You Keep Your Tampa Home as a Rental?
Keeping your home as a rental makes sense when the rent covers the payment and costs, you have reserves for repairs and vacancies, and you can still qualify for your next home. Your current low rate and the equity you'd keep building often make keeping it worth a hard look. Josh Jampedro at Home Loan Advisors runs both paths, sell or keep, so you see the cash flow and net worth difference before you decide.
The questions that decide it
- Does the rent cover the full cost? Payment, taxes, insurance, HOA, management and a repair cushion.
- Can you qualify for the next home? Lenders may count part of the expected rent, usually with a lease and documentation.
- What would selling free up? The cash from a sale could fund a larger down payment or other goals.
- Are you ready to be a landlord? Or will you hire a property manager?
PCS moves and VA loans
Military families moving on PCS orders often keep their Tampa home and rent it out. If the home has a VA loan, part of your VA entitlement stays tied to it. Depending on the loan amounts, you may still have enough remaining entitlement to use a VA loan at your next duty station. Josh will calculate your remaining entitlement and show what it means for your next purchase. MacDill families can plan this before orders arrive. See also VA loans in Tampa.
If you'd rather finance future rentals on the property's income, see DSCR loans.
A Tampa example
A MacDill family owes $290,000 on a home that would rent for $2,800 a month, more than their full monthly cost. They have PCS orders to Virginia. Selling would net roughly $120,000 after costs. Keeping it covers the payment, builds equity and keeps a low rate. Their remaining VA entitlement lets them use a VA loan again for the next home. Seeing both paths side by side made keeping it the clear choice.
Illustrative example, not a specific client.
Frequently asked questions
Can I use rental income from my current home to qualify for a new one?
Often, yes. Lenders may count part of the expected rent, usually with a signed lease and documentation. Rules vary by loan program.
Can I keep my VA loan if I move?
Yes. You can keep the home and rent it out after a PCS move. Your entitlement stays tied to that loan, but you may have remaining entitlement for another VA loan.
Should I sell or rent my house?
It depends on rent versus costs, your reserves, your next purchase and your long term goals. Running both paths in numbers is the best way to decide.
Do I need a different mortgage to rent out my home?
Usually not, if you lived in it as your primary residence as required. Check your loan terms, insurance and HOA rules before renting.
What reserves should I keep as a landlord?
Enough to cover several months of payments plus repairs. Lenders may also require reserves when you buy your next home.
Related: Strategic Mortgage Planning · Buying Before You Sell · Pay Off Your Mortgage or Invest?
For informational purposes only. This is not a commitment to lend or extend credit. All loans are subject to credit approval. Not affiliated with or endorsed by the Department of Veterans Affairs or any government agency. Home Loan Advisors LLC is a DBA of Go Rascal Inc. | Company NMLS #2072896 | Josh Jampedro, Branch Manager, NMLS #1082889. Equal Housing Opportunity.
