But even to this day the money is always the winner not me.. thats how you raise significant capital ..

This is most of the depreciation you are taking year one.You can calculate your depreciation recapture by taking the sale price of the asset and subtracting the adjusted cost basis.The adjusted cost basis is what you paid for the asset plus any improvements you made along the way minus the depreciation you took along the way.The profit above this original cost is taxed as a capital gain, but the part linked to depreciation is taxed at a maximum rate of 25% under the unrecaptured gains of section 1250.To recap the tax rates are:- Sec. 1250 real property: 25%- Sec. 1245 property and 15 year 1250 property: Ordinary Tax RatesThere are ways to minimize depreciation recapture especially if you know how to work smart with your CPA.1) Asset Valuation at Time of Sale - Sellers can minimize recapture by reallocating the price of the assets on sale.

I am very interested in hearing more about your experience with self storage syndications and Cedar Creek Capital.

They are offering to buy my rental...seems as though they will 3rd party sell it immediately, likely to a fix and flipper. Not sure if they are legit. Their website says they do lots of things in the real estate world...

And you now have to file three tax returns:- partnership tax return- your individual tax return reporting 1/2 of the partnership losses- your partner's individual tax return reporting their 1/2 of the partnership lossesAnd while partnership return can be DIY-ed, it probably should not be.

Tax free appreciation and rents significantly trump the loss of depreciation and custodial fees.

They have been incredibly transparent but they are currently deciding on a capital call or selling the property at a major loss (70-80%).

I feel a loss of direction and that makes it really hard for me to focus and build.Do we keep at building a portfolio of small multi family (very abundant in my market, very rare to find anything above a triplex for sale), with plans of selling the portfolio and 1031'ing into larger properties? 

It's a small place so I'd guess it won't rent for enough to cover your expenses anyway so I'd probably sell, especially if the loss is small, it unless it's in a great neighborhood that you think will do well over time. 

However, there’s a catch—I’m looking to partner with an investor to help provide the capital needed to complete the deal (would need to raise around $200,000-500,000).