When I look at the equity and the 15% Capital gains tax bracket I would likely be in, I would avoid ~$24,000 in taxes if sold before Aug. 2025.- I am aware of my 1031 options should I want to sell and defer taxes beyond that 3-year date (and would need to continue to do so until death if I wanted to avoid those taxes instead of just defer them). - I believe the current rental situation I have is better than the property warrants.

Primary $250,000 per spouse avoidance on capital gain.  

Leveraging equity does involve some risk, so it's important to have a sound strategy to avoid overextending yourself.

Selling would allow me to put the $100,000 equity toward the new primary home, potentially avoiding a larger loan.What would you do in this situation?

From my experience, taking it step-by-step has helped me avoid mistakes and build a solid foundation for the long term.

I don't need to add another unnecessary layer when I could just invest in some passive approach that is much easier to manage.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!

@Curtis Cutler Avoid cashing out your 401(k)/457 to minimize taxes and penalties, potentially up to 40%.

Avoid mixing relationships and business.

You can hear real-world examples of how others have built their investment portfolio and (hopefully) learn to avoid their mistakes.4.