This is obviously much better than $1,400 per month.On top of that, you will now get 2x the depreciation write-off so your taxes should go down.On top of that, you will now get 2x the appreciation when real estate price go up.On top of that, your tenants are helping you pay down the loan, initially at about $100/mo for both properties, which gradually gets better and better.On top of that, you now have more units so if one or two goes vacant, you have more renters covering the losses of the vacant units.If you want to keep these properties, I would do a cash-out refi and go buy more rental real estate.

Cash flow is not the only factor in making money but a cash flowing property might be able to pay the expenses and up keep of two properties while one just appreciates. 

Keep adding to your notes and refer to them from time to time.

Please see the rough numbers below :Tear down house price 350k,Construction cost 165 sqft * 2 build=627k too much for the land unless your exit is 3 million. don't reinvent the wheel. no single family home builder is paying 300k for land. that's miami florida prices where I live. we buy land 50k and under in Columbus Ohio. keep land at less than 10% of after built value.

Keep in mind that they can increase that period if they get complains from the community, so make sure you're in good relationship with your neighbors.

A fan of the channel by the way, keep it up!

The plan is to keep operating the property as a PadSplit post-acquisition.

I'd keep the rental and by no means refinance it to take cash out. 

This keeps the listing inclusive while giving guests helpful info.

It is up to the landlord to do their research and keep on on things.