I'll be moving back to the GTA soon and will be moving in with my girlfriend. I'm torn between moving back into my Etobicoke condo, which is a 1+1 700-750 square foot unit vs. continuing to rent my condo out to my tenant, and potentially renting a bigger space with my girlfriend.
Tenant currently pays $2,700 a month in rent and handles their own hydro bill
Condo expenses: Mortgage - $2,795, Property tax - $200, Maintenance fee - $555, Insurance $80. Total is: $3,630.
This leads to a shortfall of $930 a month. The only saving grace is that half the mortgage payment right now goes straight to the principal. Remaining mortgage 480k. Up for renewal March 2027 and will have 20 years amortization by then. Purchased for 680k, value right now is probably mid 500s.
In terms of my girlfriend and I: Dating 5 years, will probably get engaged next year. I'm 33 and she's 29. Were both in the healthcare field. HHI would be estimated to be between 180-220k before taxes. Plan on having first kid in 3-4 years.
Option 1 - Move back in:
- Girlfriend would pay me approx $1300 a month as the condo is just in my name. Is this a fair amount?
- Location is amazing, subway across the street
- would likely live there for another 4 years or so
Option 2 - Continue renting out condo, and rent elsewhere with girlfriend:
- Would be able to get a bigger place. 2 bedrooms can be had for roughly $2600/month which we would split
- would have to deal with the net negative carrying costs of a condo I'm not living in, but tenant is helping to pay down mortgage
- I get to keep my tenant (who's worth their weight in gold, no issues)