The answer will depend on a whole lot of variables such as age, income, goals, tax bracket, etc.  

Selling to buy new properties has a lot of costs involved with realtors, titles and capital gains taxes (variable depending where you live) so that should all factor into your opportunity cost ROI calculations.

There are a lot of variables to making development projects work out for the best, but it can help you see the bigger vision for a property instead of just carpet and paint.

Lots of variables.....depth/type of pipe(s), Local codes/requirements, excavation to establish grades, on and on......

If you go this route, I would focus on a single property - the one which is costing you the most in interest and/or the one which will yield the biggest free cash flow once paid down - until you reach any prepayment limits imposed by your financing terms.Additionally, if you are able to switch your payments to {accelerated} bi-weekly (26-payments a year) from monthly, that alone will trim your amortization and total cost of borrowing.Another thing I frequently do is to take-on variable rate financing on a property (which is usually at a lower interest rate than a fixed rate loan ... by as much as a 1 pt), but set my payment as though I have a fixed rate loan.  

I did not include the garage rents since the garage accrued no expenses and not every property has one.Vacancy = 4%Operating Expenses = 50% and breaks down as follows:Property management: 10%Fixed expenses (property tax, insurance, water, sewer, trash): 21%Variable expenses (maintenance, repairs, lawn care, leasing fee, gas, electric, inspections): 19%

The location is one key variable that attracts the tenant. 

. - Ongoing Repairs - These can be highly variable, but in my portfolio, long term, I was spending $150-200 per unit per month.With about 2 hours of work you can be sure the numbers are spot on. 

@Fred CanzanoSelf-directed IRA accounts are a specialty service, not served by the mainstream brokerage houses.There are several types of account structures, and what will be best for you will depend a lot on variables such as the amount of capital, investment types, your employment status, etc.  

Key bank's rate scares me that it is almost at a rate of a credit card and i assume it is variable and also assume rates will go up.I am not really looking for other financing options other than this for my first deal. any thoughts or suggestions are greatly appreciated.