Right time to walk away?

[Matthew Catanzariti]

Trying to figure out if it’s the right time to cash out and walk away. I’m still in the capital gains exempt territory but only until the end of the year. I have a 3-family purchased for 575 in 2017 and is worth about 1mil now. On one hand I love the idea of not worrying about the property, on another I get the long term move of keeping it, just not sure which is right for me, how did you make the decision? I’m a high earner if that makes a difference, I don’t NEED the rental income.

[Jay Hinrichs]

Quote from @Matthew Catanzariti:

Trying to figure out if it’s the right time to cash out and walk away. I’m still in the capital gains exempt territory but only until the end of the year. I have a 3-family purchased for 575 in 2017 and is worth about 1mil now. On one hand I love the idea of not worrying about the property, on another I get the long term move of keeping it, just not sure which is right for me, how did you make the decision? I’m a high earner if that makes a difference, I don’t NEED the rental income.

do you mean you lived in one of the units for 2 of the last 5 years so you get to get the 250k or 500k tax free.. I love that play and thinks its one of the best tax advantages we have as Americans.. However I think I read somewhere and I could definitely be wrong that you only get to get the tax free on the one unit you lived in.. and you do have recapture to think about as well.. but sometimes paying tax at cap gains is OK if your going to buy a buisness that far out perfroms rental income and thats not all that hard to do frankly. COC rental income is one of the lowest returns U can get for someone who wants to be active in their business.. 500k business thats successful IE 500k in cash and some debt should net you easy 100k to 200k a year if not more.