What to do with equity of 100k?

[John Reyes]

I currently have over 100k in equity on my current property. I’ve been thinking about doing a refinance to take that money as a down payment on a duplex(around my area are 250-300 which will have have a down payment of 50-60) which will create immediate cash flow. Is there any other suggestions my investor family would have to do with the money or am i on the right path?

Thank you for your time!

[Evan Polaski]

It all depends on what you are looking for.  What are you looking for out of life?  Do you want to grow your rental property portfolio (I assume you do, since you are here).  A duplex is a great starting ground and can help get your feet wet in the rental property game. But good managers are hard to find (at least for me) with a single 2 family.  So you will either need to be the manager, or will be battling managers to run it for you.

Lastly, when you say $100k equity do you mean the property is worth $100k more than you paid for it, or $100k more than your current mortgage balance?  Typically, although some of the mortgage brokers on here would know better, you can only access up to 80% of that equity.