las vegas to sell or not to sell

[team631]

Hello I got on this forum because i cannot find any solid advice and im desperate..After 3 years of paying off a total 32000 of back taxes i still owe 24500 with penalties and interest its taking forever..Also after 18 years of paying 120k in child support i am 20k in the rears..I have been paying 1k a month child support as far as i can remember and 450 now a month back taxes..Heres my question .I inherited a home in a neighborhood i dont realy care for but it is paid off.i could probly sell it for 140k minimum..If i sold and was lucky i could pay off both these ruthless entities and be free as a bird for the first time in soooo long..I woulkd finaly see my full paychecks and i would get to start over fresh and clean with maybe 100k in pocket..Or i can continue chugging away with no rent living in my paid off home in in 4 to 5 years have all my debts paid and still own my own home..Im not sure what to do and im losing sleep ,What would you do ?..ill take any advice thankyou

[Nutria]

I woulkd finaly see my full paychecks and i would get to start over fresh and clean with maybe 100k in pocket..Or i can continue chugging away with no rent living in my paid off home in in 4 to 5 years have all my debts paid and still own my own home in a neighborhood you don't like.

I think you answered your own question.

[Save24]

You have a cash flow machine

I do not consider real estate for anything but cash flow after our wonderful housing burst back in 2008.

You have a cash flow machine in the paid off property. You could rent it out, pay for property management and still clear a good monthly net income.

And it sounds like your child support will still be setting you back $1K/mo? Or once you pay the 20K off will your responsibility end?

Also, you need to consider your tax liability if you sell. How much of that $140K will just be a future tax bill for you?

Personally I would keep the house as a rental and consider taking out a loan, backed by the property, to pay off your debts. But just confirm you will have good monthly cash flow after paying for the loan, the property management, taxes, insurance and perhaps $200 per month into a reserve to accommodate for repairs for the rental.

Once the loan is paid off, you will have a nice income earning asset.

Cheers!