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Thanks for your reply.

If you are getting lots of visits, but no offers, there is something wrong. Generally, that's price.

I would think if the price was too high that people wouldn't be visiting it at all.

Seems like a gamble with a variable rate loan.

Yes, it would be. I wish I had some idea of the direction home prices will take when rates go up. To me it would seem that it would bring them down further.

Seems like an argument to sell. You seem to be in a place where you can either bleed away money through rate increases on the HELOC or negative cash flow after refinancing, or you can get it over with all at once by selling. Since you have said you don't want to be a landlord, that argues toward selling.

There are many other variables at play, whether home prices will recover or not, and also whether rents will appreciate.

I don't see the rents appreciating by more than $500 anytime soon, though, so there would still be some negative cash slow for a while, making it a bad investment. Though some of that negative cash flow would be equity growth.

As for the home price appreciation, if it takes more than 3 years, a good chunk of it would be eaten away in taxes at resale time if I tried to take advantage of it.
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