Cliffs notes are that I own a home that I live in, and also have 2 investment properties (all in Los Angeles).
Property 1: 4-unit. Worth $850-99K with about 450K in equity.
Property 2: 4-unit. Purchased last year. Worth about $800K with about 350K in equity.
After taxes, mortgage and insurance on both properties, I take home about 56K/yr in my pocket free and clear. I manage the properties myself.
I feel that property 2 has a ways to go in terms of upside, both in rents and equity, which is why I bought it. The area is very quickly changing for the better and I believe it will perform well over time. But who knows how much time it will take.
That being said, I think my money may go further if I use both properties as a downpayment on a much larger building. Say, 16 units or more (?). I'd obviously have to do my due diligence and find the best area, return, ect. I'm in no rush to do this, but maybe within the next year or two.
Wondering if anyone's done similar and what the process was like, and if it paid off? I know the timelines are very restrictive, but that it can be done with the right research and team. I'm also a licensed agent. Thanks in advance for your help!
