I invest out of state because at the time, I could not find anything that would meaningfully cashflow, plus a $150k deal was a LOT less scary than a $800k deal!

I own one half, 3 bed 3 bath, and I’m currently living in and renovating it with plans to rent down the line.

I think it depends how much time you want to spend on it. 

You can use this property to hedge any others that you add that may only cover themselves, or require supplement until they are paid off.HOWEVER, if you have decided that your goal is to use Real Estate as a stepping stone to build wealth by upgrading the property you hold each time (condo to house, house to 4-plex, 4-plex to 8 unit, etc) then I think you are right to sell now while you think the property is at the top of it's appreciation.It will be hard for anyone on BP to tell you what to do as we don't know your goal.You are right. 

. 🧐🤓 I enrolled  in his course  this time last year.

**South Mountain** - Still relatively affordable with growing appeal to first-time homebuyers2.

Enjoy live Zoom sessions, expert Q&As, market analysis, exclusive webinars, mentorship opportunities, and real-time property insights.

These will change over time but always good to start somewhere.

I hope you are staying safe in this difficult time. 

Hopefully someone with tax accounting knowledge can jump in here with more detailed analysis, but I looked at this a bit several years ago...1) You still have to pay the depreciation recapture on the sale decreasing the net benefit of this approach due to the large tax payment in the 'sale' year2) The LLC would need to not be a passthrough entity so that it can be taxed separately from you, so you have to add another tax return cost for the years going ahead3) Taxing it separately from you likely means corporate status and corp. taxation rates which are higher than yours and I've heard many times over the years to avoid titling real property as a corp...Overall from what I've seen this only makes sense in a select few scenarios, which for most people aren't in play.