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Updated about 6 years ago,
New Member, interested in some advice
Hello all!
This is my first post, so I'm going to lay out my whole situation and I'd love some expert insight as to what I should do. BLUF: I have real estate, some investments and assets, and some inherited money in a retirement account. I'd like to lay out the rough numbers below and see what you all recommend my course should be. I am extremely passionate about real estate being my future, so I want to make sure I stop making misinformed and uninformed decisions, and start winning on investing.
First off, my name is John. I'm currently active duty Navy and have been in almost 12 years. I'm living in San Diego County for now but transfer in about a year and hoping to go back to the east coast. 2017 and 2018 have seen some massive changes in my life, some good and some bad.
The financials are as follows:
TSP(Government 401k): approx $40k
Inherited IRA: approx $115k (withdrawals affect taxable income levels)
Cash: approx $10k (recently paid off ALL consumer debt including car, so building this up at a rate of about $2.5k/mo)
Precious metals: probably about $20k worth
Real Property: 4 houses
#1: Single family
Current Mortgage: $163k (PITI = $970/mo)
Estimated Value: $160k
Rent: $1195/mo
#2: Single Family
Current Mortgage: approx $140k (PITI = $1088/mo)
Estimated Value: $200k
Rent: $1385/mo
#3: Duplex
Current Mortgage: approx $120k ($1120/mo)
Estimated Value: $165k
Rent: $825x2 ($1650/mo)
#4: Condo
Current Mortgage: $60k (PITI+HOA $853/mo)
Estimated Value: $80k
Rent: $850/mo (I rent this one to my sister, so this one is a wash)
So my questions are... Should I keep everything I have and just focus the capital I'm building through savings and the other cash assets on new rentals? Should I focus fire down the duplex to get it cash flowing more? What should I do here? I feel like every one of these properties were purchased at market value, above the recommended levels for cash flow. I'm sort of in a holding pattern right now because I'm not sure what my next step should be.
Thank you all for taking the time to read this, I've been listening to the podcasts now for a few months but finally made it over here to the forums and I'm looking forward to being more engaged. Looking forward to your advice and responses!
John