Options to getting our 1st rental property

[Danny Deatherage]

I am torn on what to do in acquiring our first rental property. My wife and I spent the last 2 years remodeling our fixer upper and are fortunate enough to now have a wonderful home in a great neighborhood w/ great schools for our daughters. 

After looking at comparables in the neighborhood, I estimate about $100k profit from what we originally paid for. - My 1st thought was to sell our home & put those profits into a unit or two. ***I feel that it would be counterproductive to move to a new home and pay more on our mortgage, so I looked to downsize considering the higher interest rates. Unfortunately homes in my downsized price range are few and far between in the school districts/cities I'm looking for.***

We are relatively close on what we would need for a 20% down payment for rental properties that we have come across but it would just about wipe us out and leave us vulnerable...

I feel like the obvious answer is bite the bullet, sell the house and settle on a less than satisfying home for the sacrifice of the first step to our goals but I was hoping bend and ear or two who can offer a level of advice.

Thank you!!!

[Nathan M kiefer]

sometimes you have to go for it.  we invested every penny we had when they market crashed, everyone told us we were crazy and now we have a $3.8mm portfolio with two short term rentals. the bottom line is there is always opportunity its a matter of working the deals and finding off market deals which i get are few and far between. 

The last deal we bought was a $700k beach house that we got by meeting the owners  of the house next to our existing beach house. they made us a deal we couldnt refuse- $375k and we pulled 195k out of a heloc and cash and went for it. 

it all depends on your journey but dont give up and keep your eyes out. if your willing to live in a little less nice of a house than you have now and have some cash to strike when the deal happens i would never say not to do it but dont just sell your place and buy something to buy something

Nathan