Private Money Scaling

[Matthew Brown]

I am in a position I am not exactly sure of the best strategy to take. I currently own a 3-unit multifamily I am selling/1031ing. I initially wanted to buy something using the BRRR strategy that fits the 1031 profile. My father is pretty close to retiring and has had a very successful last couple of years of his career. He approached me about taking a low-interest loan from him instead of a bank. I would be foolish at the rate he gives me not to take him up on it; I just do not know how to leverage the property to buy another one. I am looking to build my portfolio for cash flow through MTRs and STRs - I run a STR management company as my job. My question is, how do I take money out of the property or leverage the property so I can buy the next one?

My current property will probably sell for around $800k. I purchased it two years ago for $700k and have about $600k left on the loan. 

Any advice helps :)