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Updated over 5 years ago,
Investing decision cash flow or greater appreciation
Some advice on the current scenario please?
I currently own a 8 unit and a 6 unit in southern Cali. I just sold off my SFR and have cash to invest.
I have two options,
1. Buy another 6 (all 1/1 700 sqft) unit and not have much in my savings
2. Sell the 8 unit and take the profits from my 8 unit and combine it with my equity and buy a 10 unit in a nicer area B class area and way better unit mix. All 3/2 townstyle apartment. I wouldn’t have to come out of pocket.
Overall cash flow, if I went with option one, I would have a greater cash flow in my total profolio. Having more doors to rent means more income, but because my current 8 unit is in a C area and the appreciation is at its max, and I was thinking in the long run the 10 unit would give me greater appreciation and better/longer staying tenants.
The 6 unit is by a jr college and a cal state. Turn key ready to rent. So that was a plus.
Which route would you take? Any advice and insite would be greatly appreciated! Sorry I didn’t post numbers. I can if needed.
I am a buy and hold investor