Sell Three - Buy one. Thoughts?

[Bob Beach]

  We have a half dozen, low income, rentals scattered around Memphis and considering selling three to buy one, newer, nicer house.  We've built up our modest portfolio in the past 5 years or so and have had good and bad years. Tenant turnover and repairs have taken their tolls.  And, yes.  We had inspections on all houses except one, (I took the word of our property manager that sold it to us).  We feel like all houses have had pretty much everything rehabbed and the newer tenants are showing good "promise" with excellent rents.  But, who knows what's in the future.  But now, we're thinking of selling three and moving the funds to a newer, nicer, better neighborhood house. We have one rental in CA that is a newer house in a good area and has been trouble free for 8 years with the original tenants. 

  Any thoughts on doing this move?  Anyone have the a similar experience?  Some simple math shows, the rent from one (nice, $200k+) house would be less than the total of the three (low income houses, $45k to $100K) but less turnover and repairs could end up with more profit.