Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 3 years ago,

User Stats

154
Posts
54
Votes
Toben B.
  • Investor
  • Tulsa, OK
54
Votes |
154
Posts

Should I sell out or remortgage all my properties?

Toben B.
  • Investor
  • Tulsa, OK
Posted

Hello - I am considering exiting the market or just re-mortgaging everything to have cash.  

I started buying 14 years ago and built a portfolio off bank foreclosures from out of state investors who tried to run things remotely. 

I focused on some rough neighborhoods and did really well because no one wanted to buy on those streets in the depths of the last RE crash. I noticed all the houses were full of people paying rent so even though the neighborhood wasn't the best you can always find a paying tenant. 

Now I haven't done a residential purchase in over 3 years because all the deals dried up and the market seems to be getting frothy with out of state investors moving in again. Most of my properties are worth at least 3 times what I paid for them while rents have not even doubled. 

If I sell them the capital gains, agent fees, and depreciation recapture will take a large chunk of the profits plus I need to pay off the remaining mortgages. 

If I re-mortgage everything I end up with about 80% of the money and still own the houses but my cashflow will be significantly less. 

The goal is to have cash for either the next big deal or next downturn. I am not able to predict the market but it seems frothy around here. At times I have mortgaged a property then sat on the cash for 2 years because I could not reinvest it. 

Any suggestions?

Loading replies...