Principal balance currently at 314kProperty Details: It's essentially a "2-in-1" property, with the main unit rented out for $1,900/month and an attached ADU bringing in an additional $1,200/month.

Work with a 1031 intermediary to ensure compliance and a smooth process.Key questions to ask yourselfWhat’s your long-term goal?

Always research local regulations before investing.The Importance of a Local Investment TeamA knowledgeable local team is essential for success.

Hello Mike, It is nearly impossible to answer this question without taking a deep dive on the numbers of each but often times in expensive markets like Seattle the cost of construction is so high that it doesn't make sense to tear it down unless you can build something way bigger/nicer.

We would refinance to essentially be no money out of pocket.

The sale proceeds likely won't fully cover my loan.I have a few questions: What documents will I need to complete the buyout of the first lender?

What questions do you have?

kudos to you for being so responsive to constructive feedback.i'm happy to answer any questions you have. 

Thanks for sharing this question here, it's a great one that I get all the time.

Essentially, your new replacement property will consist of (1) a thirty plus year ground lease on the real property you already own; and (2) new capital improvements made on the real property you already own pursuant to the new thirty plus year ground lease.