Newbie From Bay area Says Hello and would like advice

[Stefan Morosky]

Hello everyone,Thanks in advance for viewing my post and for your advice.

A bit about myself and why I signed up at this website:

I am in my mid-50's and ready for a change.I am fed up with the Rat Race and my (yuk)

job in the Bay Area and have a plan,but need advice getting from point A to point B.

My situation,I own home in the East Bay and want to sell and buy something out of state

for a fraction of what a home would cost in the Bay Area.

I am interested in early retirement,I have earned it and deserve it,but that's another story.

I figure after the sale of my Bay Area home,I should clear around 425k.

But I ask myself,if I find a small home for around 265k,should I pay it off with cash

OR have a mortgage payment and invest my profit after sale in the rental market

which I know nothing about.

The house was an inheritance and I know very little about Capital Gains,only that

I could write off the money I invested in the property after the inheritance against

the Capital Gains taxes and would owe practically nothing.

In the bigger picture,my question is,"How Can I turn the sale of my High Priced 

Bay Area Home into a Win-Win Real Estate Investment strategy?"

Thank you all for your advice and May God Bless you,

Stefan M.