Sell or Short term rental?

[Joaquin Johnson]

Hi all 

I would like your opinion on what our personal next step should be with our first investment property. 

Our first investment property has about 200k of equity and is currently cash flowing about $450/ mo after we pay our property manager.   It’s a 3 bed 2 bath home with all the major systems upgraded located in Beaverton Oregon. 

Our question is with our long term tenants leaving mid July, do we sell and try to find a better Cashflow Property or upgrade to a multi unit. Or do we turn this property into a STR since we currently run a one that Cashflows a lot more than this home. Our STR is only a 500sqft studio that nets 3k/Mo so you see why we are thinking of turning this home into a STR. it's in a great neighborhood with no HOA and 12 mins from Nike

By the numbers : 

Mortgage is $1980/mo  

With a long term renter we got $2600/Mo for rent

With a STR our total expenses out of pocket would be $2400/Mo with nightly rates around $200-$280/night

Cost to furnish would be $12k-$15K 


What would you do?  please consider a refinance is out of the question with our interest rate being 2.5% on this property.  
and a Heloc we got quoted would bring our total payment up to $3,000/Mo 

Thanks in advance!