Does it make sense to take money out of the stock market to invest in RE?

[Nicholas Dillon]

Hi guys,

I am a relatively new RE investor.  I own 2 rental properties and am looking to purchase a 3rd in 2025.  I am starting to look at funding my next deal.  I've done pretty well as a relatively novice investor in the stock market, just investing in S&P 500 tracking index funds. Obviously, 2024 was a strong year for the stock market. 

I wondering about cashing in a small percentage of my stock portfolio to fund my next RE deal.  I'm curious what your thoughts will be on this.  Is this a decent idea?  what factors should I be looking at when making this decision.  I appreciate your input as I brainstorm how to fund my next RE investment.  Thanks