Need help deciding to get out

[Jeremy Oberbroeckling]

I found a lot of great information on the podcasts how to find deals but there is no info on how to decide to get out of a rental property.

My wife and I started our real estate investing career in not the best way. We own two properties in Austin, Texas. The first property my wife bought with a friend prior to our marriage they could live in as a primary residence and I eventually moved in. Then after a couple of years of dating we decided to buy our own house and the other house was turned into a rental. After a year we decided to move to Phoenix. This was in 2008 and the market was on a downturn. So we decided to turn that house into a rental also.

So the 1st property is 30 years old and is falling apart. The property is bringing negative cashflow. So my question is how to analyze if a current property is still a good investment or we should get out. Are there ways I could restructure the loan to get positive cash flow? The market is doing really well and we could sell as-is and pull out the equity to use on a new deal. The partner wants to sell and my wife does too but I am not so sure. I don’t know if we should buy him out. Do I just want to keep it because I want to be a real estate investor? Please any help is welcome.

Thanks

Jeremy