What would be your next move?

[Chance Cooper]

We recently sold a commercial piece of land that was not making any money. We sold it and now have a large amount of cash on hand $127k. My current portfolio looks like this:

House 1: Cash Flow $475.00    Current Mortgage owed 67k

House 2: Cash Flow $440.00    Current Mortgage owed 57k

House 3: Cash Flow $330.00    Current Mortgage owed 158k

These were my courses of action COA that I came up with:

COA 1: Pay off house number 2 and increase my cash flow, to $825.00 and would also be debt free on that house. That would leave me with $70,000 cash on hand to either buy another rental, or just keep as reserves.

COA 2: Pay off house number 2 and 3, increase my cash flow to $1700 between both houses. Both houses would be completely paid off, Id sleep well at night. This COA leaves me with only $3,000 in the bank though...

COA 3: Don't pay anything off and just keep saving my money, which I have $127k on hand. Everything would be leveraged. Possibly buy another property when the right time comes up.

Any thoughts would be great.

Chance