From: Gordon Reeder 
Newsgroups: misc.invest.real-estate
Subject: Re: Best time to sell?
Date: Tue, 10 Aug 2004 04:55:51 -0000

Robert Kim  wrote in
news:Pine.SOL.4.58.0408090910080.6494@herald.cc.purdue.edu: 

> On Mon, 9 Aug 2004, Duke of Hazard wrote:
> 
>> Gordon Reeder  wrote in message
>> news:... 
>>
>> > Based on what?  Cash flow? Appriciation? Tax writeoff?
>> > Total return on investment?
>>
>> Based on total return on investment , i.e money put in such as
>> prinicipal paid and negative cash flow.
> 
> 
> Negative cash flow?  If so, isn't this a bad investment to begin with
> that should be sold immediately?
> 
Not necessarily.  Just off the top of my head I would say
there are three other ways to make a positive return.
Tax savings via sheltered income.  Apprieciation over time.
A negitive cash flow can overwhelm these benifits.  But a 
small enough negitive cashflow will still allow some positive
bebefits.  But a positive cash flow would be better.

That said, I can see the OP's point. The income shelter 
benifit will decline as the intrest portion of the mortgage
payment declines.  Also rising insurance and taxes will
also eat into the ROI in the long run.

-- 
Just my $0.02 worth.  Hope it helps
Gordon Reeder
greeder
at: myself.com

Where is George Bush leading this country
and what are we doing in this hand basket??