Best Options for a Negative Cash Flow Property

[Ben Bruckman]

I'm new at analysis and real estate investing, but I have been renting out my previous house for ~3 years.

The property is in San Antonio, TX with renters leased out to April 2020. Below are the number breakdowns:

• Rent: $1495/mo (near the top for the area)
• Mortgage: $1313/mo
• Property Manager: $149/mo
• HOA: $30/mo
• Ins: $165/mo

Which is about -$160, before accounting for short or long term maintenance.

I was considering refinancing to buy more rentals, but I don't think it's wise to keep the negative cash flow. Right now we are considering a 1031 since we have a decent amount of equity in the house. Just wanted to see if there are better options out there or things we haven't thought of. 

Any advice would be greatly appreciated. Thanks!

-Ben

[Arissa Pedroza]

If you have equity then get into an actual cash flow property.  San Antonio is an excellent cash flow market.  I have 4 pieces generating 3600 a month that I purchased for 155k.  I have an hml that will do a cash flow for as little at 3 points.  Sell the house and leverage your money for additional properties