Sell, Refi, or Cash out Refi

[Jackie Rucker]

Purchased land and developed new duplex. Our first sits in the mid 5's, for this example lets say 550k. We can sell the property for 850k at the cost of 7% closing cost etc. 

We have 3 Options:

1) Sell the property and pay capital gain taxes

2) BRRRR - Refinance the first on a fixed 30 year in the high 4's / low 5's

3) Cash out Refi and reduce cash flow but keep working capital

Rental Info:

Rent per unit $3,000 x 2 = 6,000

Management = 250 / month

All utilities paid by tenant

We are working on multiple projects and have a similar scenario with larger unit counts. What we are trying to figure out is the right mix of keeping v selling. Ideally, we want to build our monthly cash flow to help with overhead expenses and get us through slow times but still need the working capital to keep the deal flow strong. Any advice would be greatly appreciated.