Personally, I would hang on to the cash.  

That means paying all cash isn’t an option unless you plan to bring another $600k to the table. . 

Would it make more sense to move the money we make from selling to a different property that could potentially increase our cash flow? 

This deal doesn't meet the 2% or 50% rule of thumb, but it has positive cash flow and is in a growing market, according to the latest 2024 Top 100 data from BP. 

I went all in, I had a few 401K’s so I cashed in the one that was growing the slowest and took the penalty and purchased my first property.

Quote from @Daniel Tanasa: Another option is to get a small cash out refinance from the house you plan on fixing up, if is in financeable condition, and use that to fix it up, while still cash flowing.

The appraiser is there to determine fair cash value.

"Value add multifamily" is a cute term, but it will be an absolute bear of a project that will evaporate cash if you don't know what you are doing...and perhaps even if you do know what you are doing.

Louisville is fantastic for cash flow and is a safe place to start since we don't typically get caught up in the roller coaster effect of steep appreciation followed by sudden pull backs when the market isn't red hot.  

Great option for buyers financing with VA, FHA, conventional, DSCR, or cash of course (no seller financing).The listing will be available starting in mid-February and most likely won’t be on the market for long so shoot me a DM for additional details and I’ll be happy to chat!