How would you grow from this position?

[Dillon Dale]

Hi guys, I am wondering what you would do if you found yourself in this situation. I feel this could be a good learning opportunity for myself and other's who are in the early stages of their investing career. My question is, how would you grow from this position?

Scenario-

You bought your first duplex one year ago for $205k. Your mortgage balance is $173k at 5.25% annual interest. Monthly PITI is ~$1400. You are currently living in one unit and the other is rented for $1000 per month. Your unit could rent for $1300. Both units have been renovated. The property has updated electrical and hvac. The water heater and roof do not have much life left, but the siding and windows are in ok shape. The property is now worth $240k. You have $5k cash.

Question-

1) How would you grow from this position?

2) How would you manage your cash flow? I.e. how much to set aside for reserves/capex/maintenance etc.

This post leaves a lot of room for you to be creative and is intended to help new investors grow their portfolio, so please provide as much detail as you can. All ideas are welcome!