Overleveraged Advice Please Help

[Nathan Frost]

Hi, I was hesitant about writing this but want anyone out there that can help.  Please give me any tips or advice.  I rather sleep peacefully at night.  I could use the criticism and just want to not worry every month about vacancies, repairs, tenant not paying rent, etc. 

I have a portfolio of about 12 rental properties.  They all are rented but one.  However, what stresses me out and makes it hard to sleep at night is the 8 properties that are under 1 blanket loan.  Its a 7k payment that includes mortgage, taxes, and insurance.  Though, what I have noticed, is with 1 vacancy and especially 2 I am in the red and usually have to use my nest egg to get by for 2-3 months.  I did the blanket loan because I had too many repairs that piled up over the course of 2 years and so I refinance to pay all that debt off but now feel like my numbers are very tight.  I have 12 properties but only cash flow $2000-2200 and that's saying they are all rented with minimal repairs.  Which most of them have been fixed up by now to not have problems, but you know stuff will come up. My problem was every time I did a cash out refi or had 30-40k I would go buy another property to expand but never kept a nest egg.  Right now I only have a nest egg of about 25k.  When I think it should about around 60k.

Technically they cash flow $3000 if you take the $800 in property management off my monthly sheet.  But that would be difficult for me to manage as I have a day job.  I mean I could but I feel like that would be more headache than it is worth.  Ideally I feel like I should be cash flowing 3000-4500 which is about 350 a property or so.  I get upset at myself lately cause I have a really good credit score and am a numbers guy.  Just I have friends that have 2-3 STRs or LTRS and they cash flow around $2000-5000 on just 3 STRs.  I don't mind selling some but it stinks because with the refinance there is a sell off price with the new lender and that won't make me cash out much more likely break even.  Please give me any advice so that I can make sure I am moving in the right direction before it could possibly be a massive problem in 6 months if there were to be 2 vacancies or non payment of tenants.   Send me your email and I can send the portfolio.

1.Should I keep grinding it out and build some equity?  Pray no vacancies or repairs. 

2. Sell 4-5 properties (likely break even) and feel good about 5 strong properties that have minimal repairs?

3. Sell just 3 and buy a STR that could help the portfolio balance out with its cash flow?

4. Other option?