Should I sell my home in the Bay Area & buy investment property?

[Chris Bane]

I am new to BP but am finding a lot of good information on the site.  I purchased my townhouse in the SF Bay Area in 2015 for about $750,000.  I could sell it today for around 1.1 million after making a few minor improvements to the interior like installing hardwood floors.  I would then have close to $400,000 that could be used to invest in rental property in other markets where property cash flows easier than the Bay Area. I would then be renting in the Bay Area rather than owning.  I just read Rich Dad Poor Dad again which has got me thinking about this. What would you do? 

[Brian Garlington]

I don't think I will ever sell my Bay Area properties. I like being able to refi them...pulling cash out and then using that cash to buy in cashflowing markets. If I refi and I'm now "paying" an extra $300.00 per month on a new mortgage.....but that also allows me to pay off 3 properties in a cashflowing market that I had been paying $1,150/mo on total then that GIVES me an extra $850.00/mo in cash flow and the banks in turn want to lend me more money to buy more properties. 

If my Bay Area properties go down in value who cares.....I have tenants in them that are paying the PITI for me.

Simple.