Maximize gains - cash out refi? sell outright? continue to rent?

[Luca Mastrangelo]

Hi everyone, need some help here.  I currently own a 2 family property that I will have paid off in a few years and starting to think about how to reduce taxes and maximize gains.  

Background:

• purchased 2 family (2 2 bedroom units) in CT as owner occupied in 2010 for $230k - financed with FHA loan at 4.5?% and 3.5% down payment
• lived there until 2015, rented 1F unit for $1000/avg over that time
• refinanced into a 15 year loan in 2013 at 3.875%
• rented both units 100% since then
• rents now cash flow positive about $400/month
• been doing capital improvements to offset income and keep net profits close to $0
• paid down a lot of extra principal over last 2 years
• currently owe $80k 
• valued at $260 conservatively, $300k optimistically
• Will finish loan in 2022 or 2023, i forget without looking at my schedule

I'd like to get out of the property since it's not returning that great of an investment relative to just investing that money in the market and earning 5%.  

1. first thought was considering selling it ouright but after capital gain taxes, realtor fees, paying back taxes on depreciation owed and losing the tax benefits of having a property i dont think thats the right move.

2. My second thought was to do a cash out refinance once I own the property outright and invest that money.  Put the property on autopilot at that time, get a property manager, cash flow $0 or close to it and setup a new 20 year loan.

3. recently i started thinking that with interest rates still low and expecting them to go up in the future, maybe i should be looking to do the refinance now, although it would be with less equity at this point vs in a few years. 

Ultimately, I'd like to have access to my equity and invest that and earn interest on that or use for other potential projects.  Im concerned that selling outright will yield me the least and has a lot of cons from giving up the tax benefits of having a rental and that if i just let this project run its course, ill have to start paying taxes on the additional income in 2022, since right now i can write down some of that against interest.

thoughts on how to maximize yield over say the next 5-10 years?

TIA