All Forum Posts by: Drew Shaw

Thanks @Jaysen Medhurst. I will be selling my house (class A area) and pocket tax free profit. And keep looking properties for in Class B or C area for investment. As a beginner, do you have any recommendation as which is better ? SFR ( 3-4 bed , 2 bath) or MFR ( duplex or 4-plex)

@Jaysen Medhurst you are dead on. My rent is 2900. Also I already got few unexpected garage and electric issues, so had to put extra cash.  So you are right on cash flow as well.  

Is there any rule of thumb on CoC that investors typically follow ? I am new to this and hence trying to learn

We moved to bigger house with better schools and rented out house to learn how rental works and to see if we want to do it.  Its been rented out for 7 months ( so far so good) and we have another couple months to decided if we want to hold on to it or sell and buy 2 property for investment, mostly because 1. We have ton of equity in the house  2. Saving tax from the gain of primary residence. ( living in house for 3 years in last 5 years)

Rental/property info - 2012 construction, 2800Sq FT, 4Bed+Den, 3.5 bath, great neighborhood. its 15 year mortgage with 7 years left. 2.375% for 15 years. Value is ~700k, equity 500k+ . Rental pays everything and  evens out. Bought it as 425k ish

What is the recommendation here 

1. Refinance the mortgage  to 30 years, take the equity out , generate great cash flow and invest equity in other property 

2. Sell the rental. Save the taxes on primary residence and invest the proceedings to buy 2 mid-size single family

Thoughts ?recommendation ?