When to sell a rental property?

[Bill Zepeda]

Hi all,

While I consider myself a buy-and-hold investor, I'm curious if it ever makes sense to sell and reinvest. I have four rentals that currently have significant equity due to this market area experiencing strong appreciation growth. I currently have approx 30-50% LTV on three of them and I've considered refinancing to leverage a property and use the proceeds to reinvest or simply sell it and take the equity elsewhere. I realize that a cash-out refi will decrease the cash flow, but taking out the equity provides more buying power to increase the portfolio...OR do I just sell one of the rentals to repurchase? Just not sure if/when the time is right to re-position. Does anyone have a useful analysis/tool to help the decision making process?

Thanks in advance for your thoughts!

Bill