I ran these numbers awhile back but pretty much everything has changed in every aspect and I am really stumped on what to do.

Current Situation:

-Bought house in 2010 for $170k

-House today is worth $650k

• Owe $98k and monthly payment with taxes and insurance is $1280

• Interest rate is 3.5%

• Single so would be paying 20% capital gains on 350k in taxes (about $60k)

• Comparable rents in area are $2500 a month

New Situation Abroad:

-Moving to Portugal and purchasing a new place for around $900k and putting down $500k to qualify for visa.

Dilemma:

After taxes and expenses, looking out over the next 5 years, I think I would end up with around $14k per year which is a 2.5% return on my $550k in equity. Not great but in a quickly appreciating area.

I will be living abroad which will make being a property manager challenging but I do have a good friend who is willing to manage it for me and she is beyond trustworthy.

If not for the capital gains tax it would be a no brainer for me to sell. I could also Airbnb it to increase the income but have no experience with that at all.

I don’t necessarily need the equity for the down payment on the other house which is part of my concern as I will need to put the extra somewhere and not a lot of great places to put it right now.

Any thoughts or advice would be appreciated thank you for listening.