Should I buy rentals now? Or wait for market to cool down?

[Kalanie Tran]

I want to ask your opinion on which strategy to take to increase profitability

I’m thinking if I should sell my CA rental now before I have to pay capital gain tax

Cuz I’ve only rented out 2.5 yrs

Still within that 5 yrs time, that was my prior residence

...next thing is...

A) hold on to the $300k cash and wait out a yr, but when market cool down a bit

B) buy now in Austin and Orlando

C) invest in vanguard funds

If I sell, I’m hoping to buy 2 newer properties in the 1990s-2000 built

My current rental is 1950s built...old plumbing, and outdated exterior...I feel major maintenance is bound to happen in next 5 years. If I wait, I’ll have to forfeit on tax advantage...

[Brian G.]

@Kalanie Tran imo you should definitely sell while you can take advantage of the 121 exclusion especially in this seller’s market. Knowing what to do next is not an answer that can be given on a forum, need way more info. In short, go with the option/s that line up best with your goals. Good luck!