Should I sell now before the down turn?

[Kendrick Okafor]

Hello everyone, I’ve been debating back and forth whether to sell my property or not. 

I own a 3/2 1200sqft sfh in Ft. Lauderdale built in 1958 that I purchased in 2020 for 235k. I put a new roof and did minor upgrades on the interior, paint ceiling fans etc. Fast forward, I got married and moved in with my wife who had a newly built town home. 

I’ve rented the place to friends short term (month to month) but now it’s gonna be vacant next month. My long term goal is to have enough properties to cash flow about 6 to 10k per month. I’m mid 30’s and do about 90k per year at my full time, my wife does about the same. The property can sell for about 350-385k right now. My mortgage is about 180k 3.5% interest rate. My monthly expenses are about 1600 (tax insurance mortgage). Rents currently are from 2300 to 2700 per month. Airbnb seems to be about 120-150 per night. I want to own more properties and considering the age of the property, the equity, and the tax situation was considering selling to get more capital to invest and have ready if the market dips a bit next year.

1) Do I sell now and take the profit and try to purchase 2 properties next year? (I was thinking I’d be able to take the profits tax free since I owned it as a primary for over 2 years).

2) Spruce it up a bit and get it ready for new tenants to lease annually? ( it’s gonna likely need paint, new washer/dryer and stove)

3) Fix it up and furnish it for str abnb? Not my fav option because I’d have to put a lot of money and time into it to furnish and manage and I don’t have a pool and I’m not sure I’d get more than 150 per night and with vacancies that’d be comparable to annual lease rates.

Thanks I’m advance for taking the time to read my post and share your thoughts and opinions.