Tampa has a lot of value-add opportunities in gentrifying areas where you can snag deals that balance growth and stability.

Hi,I am planning on a potential 1031 (very early stages) and would like to see what the reinvestment goal would be to maximize the befits of the 1031.property I would like to exchange purchase price $515,000sell price est: $725,000current principle balance: $350,700Interest rate 3.25Current Mortage is $2300 and it rents for $4000. 

The plan is to use the heloc to purchase additional properties, and basically brrrr and pay back the balance - then repeat.What I didn't realize is how difficult it is to find a business heloc.  

I’ve developed a Comprehensive Investor Report (CIR) for a property in Palm Coast, FL, designed to be transformed into a luxury rental asset while serving as the foundation for a scalable asset management strategy.Here’s a quick snapshot of the deal:Property: Red Birch Lane, Palm Coast, FLCurrent Value: $350,000+Mortgage Balance: $165,000Current Equity: $185,000Investment Required: $177,500 (for luxury upgrades and optimization)Projected Monthly Rent: $4,500 with 2% annual increasesTarget ROI: Full 1.5x ROI for investors achieved in 9 yearsLuxury Features: Smart home automation, designer finishes, professional-grade kitchen appliances, and more.I’ve also structured a capital distribution plan with a waterfall approach:8% Preferred Return for investors.Full Return of Capital to investors before profit splits.Post-ROI, a 20/80 split (Investor/Management) ensures long-term alignment.

No one pulled a payoff to confirm the balance or looked at the latest statements before closing? 

People appreciate the balance of affordability and livability.What’s been the biggest hurdle for Orlando in pushing these types of projects forward?

Gone are the days prior to 2019 where I as a complete newbie could buy and get instant equity, use financing at sub 5% and still cash flow while maintaining a reserve balance.

Hey Todd, that’s a real juggling act you’ve got.. balancing one home in Florida with another new purchase in Oregon.

While rates for the new loan will be higher, keeping your existing loan intact on the remaining balance preserves that low-cost debt.Use the equity to purchase properties in higher cash-flow markets while retaining ownership of your Bend property.1031 Exchange:If you do sell, a 1031 exchange allows you to defer capital gains taxes by reinvesting the proceeds into like-kind properties.

It may trigger if you are paying down the balance aggressively during the prepayment penalty period.