What should I do, increase rentals or sell for down payment

[Freddie Williams]

I have 2 rental properties with equity over 80k. A single family and a condo. I would like to get into commercial apartments. My question is should I:

1. Sell my rentals for down payment.

2. Increase rental holdings for a strong personal financial statement. 

Just wondering which route should I go.

[Bryan Mitchell]

@Freddie Williams, if your two properties were underperforming or having numerous issues, your decision would be easier. If the properties are producing positive cash flow and there’s equity there and you can qualify for a refinance to get the funds for another investment, why not? If I were you, I’d dig into the numbers and see how much cash flow you’ve actually made since ownership. Now, factor in known and unknown future expenses and see if you’re still $200+ per door. I personally prefer $300+ per door as it helps me get to my goal more quickly. So, if the property is mostly problem free, producing your target CF and is forecasted to continue, and still has upside, you may want to keep it.