How to scale your REI

[Nav Madhwan]

How can one scale your REI. I have a few multi-units, is it better to sell and get one big apartment complex? 1031 exchange? Thoughts, advice highly recommended.

[Austin Andrews]

Without any numbers being known, this is hard to answer. Sure, in a perfect world, it would make sense to sell a 4-family with some equity and 1031 into a 12-unit. 

Are these properties currently cash flowing? Are they appreciating? Do you know how much trapped equity you have?

There are a million different ways to scale up. You could pull the equity out and purchase more. You could cross-collateralize the buildings. You could sell and upgrade, etc.

I would get in touch with a local Multi-Family Broker, your accountant, and a 1031 Exchange Specialist and they should, hopefully, be able to point you in the right direction.

Good luck!