@Edgar Duarte Selling now under the primary residence exclusion avoids capital gains taxes, allowing you to reinvest the $500K equity in diversified assets like index funds or additional rental properties.

Thanks to everything I’ve learned from the podcasts, books, and this community, my wife and I currently own:A triplex in MaineA single-family rental in San AntonioA single-family primary residence in Las Cruces, NM, which will become a rental when we move in a few monthsFor context, I'm an active-duty Army officer with about 12 years left until retirement, and my wife works for a university in Boston.

Our primary residents also has some equity, I have a HELOC with $166,000 available funds.

Buying a property as primary, renting a bedroom or two to friends is a good way to start building your RE portfolio.

I was just on their website looking at the permit process:CityofSac-STR PermitLooks like 90 days max until you get a conditional use permit but still reading as it seems a little unclear:A short-term vacation rental may operate from a location that is not the operator's primary residence for a total of 90 days in a calendar year.

I completely agree with @Ashish Acharya's points about the cost-effectiveness of a HELOC and the potential credit implications if it’s secured by your primary residence.

It is an investment property, and does not meet the qualifications of being her/their primary. 

Both strategies are great and have their pros and consOne of the biggest wealth building tools in real estate is the ability to purchase a property as a primary residence and put less then 20% down.

I’m on the hunt for my next primary and would like it to be a project. 

I don't know your living situation but if your paying x,xxx for rent or a mortgage and instead by living in one side and renting out the other you will be paying y,yyy instead and y is less then x that's great, especially if you can rent out your primary residence and make income there too.