Voting Question: Rent my existing home to buy another?

I have an '07 Goldwing with a little over 15k miles on it that I need some advice on. I bought it with Hondas "$199.00 for 36 months" financing. Divorce and interuption of work have put a wrench in my plans to refinance it for a traditional loan. I can afford to keep up the $200 payments for the next 2 years when the deal ends, but I'll be stuck with a 3 year old bike that I still owe $20.5k on. I'm thinking the payment will be 500 a month when that times comes, hopefully not more. I can deal with 500 a month, but what if it is more? I know I'll have a hard time refinancing it because it won't be worth what I owe, and a home equity loan is not an option. I've toyed with the idea of trading it in on a cheap car and letting the dealer eat SOME of the negative equity through price negotiations and some 0% financing (in a couple years when the payment goes beyond $200). Unfortunately I can't do much now as I can't afford to do anything more than the $200 I currently pay.

Voting Question: Rent my existing home to buy another?

Ok here is my situation. In Feb. 2007 I purchased a home that was bank owned for 115k. I updated and fixed up this home, refinanced, and got it reappraised for around 190k. I have a new loan for just under 130k currently. (giving me around 60k in equity, or around 30%) I have lived in it since purchase and am considering renting it out and purchasing a more expensive home (say 250k) in a close city. (the new city has tax abatement for 15 years) I was just wondering what it would take for me to do this, and how much of the equity in my current home I can take out to put as a down payment on my new place. I was also wondering how much in taxes I would have to pay on my rental if I rented it out just to cover the mortgage, taxes and insurance. I look at this site every day and really appreciate your answers! I do currently have roomates renting the home I live in as well and would have them stay after I did move out. I would also have another roomate for the new place that would be paying rent.

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