All Forum Posts by: Account Closed

Adding almost another 500 sq ft to a 1,000 sq ft home for $20k is totally worth it in my opinion. The additions will raise your property value by far more than just $20k. Plus a 3 bedroom is easier to sell than a 2 bedroom on the market. And I would take a living room and an extra bedroom over the covered parking any day. 

But also consider the time and energy you'll have put into it. If you are pressed for time or funds for another project, it may be better to just sell as is and move on. 

Have you considered renting it out instead? Maybe worth it in the Portland area.  

I think it depends on housing demand and city permitting laws. Supply and demand most likely. 

Michael and Mathew, 

Thanks for your responses! The more that I think about it, the more likely I will go with either a cash-out refinance or a home equity loan to use for my next investment, depending on the amount of cash I will need. I really like this duplex and I've personally put a lot of time and effort into the remodel. It's in a great location and it should serve great as a long term investment with the cash flow it's producing. 

Thanks for your responses. It's always good to hear advice and get ideas from other fellow investors. 

-Sergey Kuzmin

Chase and Mathew, 

Thanks for the quick responses! Yes the argument for both sides is very real and makes for a hard decision. 

Honestly, I'd love to hang onto this duplex as a long term investment. That was the goal from the very beginning. But if I were to sell, I'd definitely use the money to re-invest in a 1031 for more rental properties, just not in the Portland area as I believe it's now over priced, but in other states. 

The problem that I'm wrestling in my head with is if this hot Portland market currently is in a bubble or not. If rent and property values stay the same or slightly rise for the next few years, I would not sell it. But I feel like the hot market bubble may burst soon and home values and rent may decrease and I'll lose out on years worth of profits that I could easily take right now. Losing out on potential profits is my biggest fear and could become a big regret. 

Looking ahead, what are your personal opinions on the Portland market for the next few years? Does it keep heating up or cooling down? 

I bought a duplex in the general Portland Area back in 2015 and it has appreciated due to market + forced appreciation through a remodel by over $200,000 in the last 3 years. My income is $1600 per month after my mortgage payment + fees. 

Would now be a good time to sell or just hold it? Im just wondering if I should take the profit while it's there and significant. It'd take about 10 years of 100% occupancy to gain the same profit from renting. 

Any thoughts or ideas would be appreciated!