BRRR, Rent, Or Flip?!

[Jake Donohoe]

Hey everyone!

I'm just at my two years of ownership of my first *intentional* investment property. I think this discussion could be relatable to many others looking to break into their first actions!

I bought this property for $172k back in 2020 as a primary residence and estimate I have around $100k of equity at this current moment. Many comps across the street has helped determine this.

This property was never intended to be "home" and now we are looking to find home as the family dynamic is vastly different today and more space is needed. I am in the smokey mountains market of Tennessee and am excited for all the possibilities.

With that being said, I'm looking for the collective minds opinion on how to move forward.

Currently the house needs a little more work probably less than $10k needed to be close to perfect. Obviously, I was not expecting the crazy appreciation this fast and that's why I'm reassessing my plan.

I suspect a "home" is going to cost somewhere in the ball park of $300k. Most conversations have not happened with leners yet as I want to create a better high level idea first going forward.

I would ultimately like to invest in some turn key STR properties in Gatlinburg and similar areas as me and the wife have experience self operating such.

What do you feel is the best way to make the next steps?

- Sell house and take ~$100k cash and purchase home + STR

-BRRR current house and take cash out to help purchase "home" cash flow would be roughly ~$200/mo and delay STR progress.

-Dont refinance current property, rent it and just purchase "home".

Again, this is more informational and more intended to help sculp my goals by considering others options and experiences I may not have thought of.

Thank you all for the never ending wisdom 🧡