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Updated over 6 years ago,

User Stats

840
Posts
1,316
Votes
Todd Powell
  • Rental Property Investor
  • Corvallis, OR
1,316
Votes |
840
Posts

Should I leverage smaller units into larger apartments?

Todd Powell
  • Rental Property Investor
  • Corvallis, OR
Posted

Hoping to get some input here. I started flipping properties back in 2001 as a part time hobby, as I had a full time job and active family. After flipping some 25 properties, I realized that buying and holding would probably build more wealth and cash flow, rather than paying those high short term taxes. I took 7 years off investing in down economy and job change, but now own four 4 plex units, one 5 plex and one 8 plex (the 5 and 8 plexes are 50/50 with my son).

Here is my question?  I have these buildings in differing cities, all within 30 min drive of my house. They are all cash flowing well, but should I try and do a 1031 and move up into a bigger apartment building? The hard part is finding a deal where I can attempt to do 1031s on smaller units to move up? Curious how investors have done this or what should be the best steps to accomplish successfully? Or, should I just keep what I have and be happy? Thanks for you responses! Todd

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