Advice on Selling Portfolio

[Arron Paulino]

I am currently liquidating my portfolio, which formerly held my rentals. I was able to package three of them in one deal, which ended up breaking even/not profitable (A little bummed on this one since I think the buyer (an investor) won the better side of the deal in terms of gaining equity on the houses). I have four more that I need to liquidate with a goal of having them all sold by the end of this year. They have been on the market for about three months now and I am working with my realtor to get them sold sooner.

The remaining properties have loans on them with one being free and clear and vacant, two being vacant with mortgages, and one is currently rented with a monthly mortgage payment due. I am trying to see if it makes financial and/or market sense to rehab them and possibly rent them out or just leave them as-is. I am leaning towards as-is due to the lack of funds in my current situation. Once sold, my goal is to have these mortgages paid off from the BRRRR method that I did and move on to different investing opportunities. At first, I wanted to just save it to build up enough investment funds to move to my next deal, but open to suggestions.

Any advice on steps to take to move in the right direction if you were in my position is greatly appreciated. Would like to hear from any investors that have been in this type of situation.

[Kevin Sobilo]

@Arron Paulino, its hard to give detailed advice, but here are a few thoughts:

1. How did you end up in this situation? It sounds like you started investing, but didn't follow all the way through. You have mortgaged properties sitting vacant and properties in need to rehab. So, it does not sound like to maximized the potential with what you already have.

2. Maybe you already own your next deal! Selling is expensive! Buying is expensive! Mortgage rates are higher than they were! So, a deal you have in your portfolio might be more lucrative when you consider those facts than something else you could buy right now!

So, I would start by analyzing properties I own as potential "deals". As I said in #1, it does not sound like they are maximized.

3. There is probably a reason why you feel you want to sell these. I suggest examining that carefully. Since these deals have not gone to plan for you so far, there should be a LOT you could learn from that experience.