Now what? Where to invest?

[Jaden Ghylin]

I've got some funds freed up from cash-out refis on 9 rentals that I purchased between 2011 and 2013 and some flips, but I'm not sure where to invest it.

I had been buying rentals and flips in the Minneapolis area where I live, but the market has moved up so much on the low end that it seems impossible to find a deal that makes sense. What's worse is the the retail prices have come down a bit due to higher interest rates making flips more difficult. Flippers are now operating in the $600-900k resale range, which I am not too comfortable with.

Properties that were selling for $50k, 2 years ago are now $100k, and the 2% rule is not even close to working. I'd like to invest in some more buy and hold properties, but not sure where to go from here. Anyone else running into this problem? Do I need to start looking in other states? I am considering looking at smaller cities in MN, like Rochester, Duluth, St. Cloud, or Fargo/Moorhead. I just don't like how low the rents are in those areas. I've also looked into multi-family as well, but not seeing any good deals there either.

I am in my low 30s and still in a wealth building phase, so I am looking for investments that I can pull most of the down payment back out of within a short period of time, creating high cash-on-cash return.

Any ideas would be appreciated.

Regards,

-Jaden