Should I Sell or rent it?

[Steve O.]

I have a summer property where I’m all in for $240k after fixing it up.  It can resell for $$350k.  We initially fixed it up for ourselves to enjoy, however, we want a bigger property with a pool.  I have no mortgage on it and at a point where I’m looking to sell or rent it.  It would rent for $2000/ month.  Taxes are $4500.  I love the cash flow philosophy, however would like other opinions or suggestions.  

Thanks- Steve

[Jaysen Medhurst]

@Steve O., rent it for a year or two (maybe Air B&B?) to "establish" it as a rental property (check with your CPA) , then sell it, and take advantage of a 1031 exchange. Your Return on Equity (ROE) won't be great during the rental period, but it's probably worth it to avoid the capital gains taxes.

In the meantime, look into a HELOC so you can use that cash for other investment properties. PenFed does 80% LTV on non-owner occupied.