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Updated about 7 years ago on . Most recent reply
Looking for advice on my next step as a novice investor
HI there I'm 27 years old I live in Canada, I currently have one rental property and I'm looking to take my step as an investor. My current rental property has about 50000$ in equity but is not cash flow positive, doesn't cost anything but still no cash flow , another negative is that it is about 2000 miles away and makes it hard to deal with tenant issue, thankfully no major issues have come up YET. The market I live in now is pretty expensive the average cost of a half duplex is about 300000$ which makes it difficult to first, come up with the 20% down and second to be cash flow positive.
Multifamily units do come on the market at around the 500k-650k range, small 2 apartments I can find for about 150K, both that will produce cash flow.
My question to you guys is..
#1 Do you think its worth keeping my current rental and refinancing for my next move or should I dump it and start fresh local?
#2 Should I buy what I can now as long as its cash flow positive or should I wait and save up for multifamily deal where cash flow will be more?
#3 when I do get a loan is it better to max out my amortization so I produce more cash flow to start off, or in your experience is it better to pay less interest in the long run?
I appreciate any comments/thoughts
Thanks