Rock solid rental while the money is in the stocks doing double duty as the principle investment as well as your down payment equivalent.  

But I have been looking into splitting the duplex into two condos (yes I know it is a lot of work) and I could probably get 325-350k for each, netting me 650-700k.Number:* Mortgage interest 2.5%* Mortgage principle 240k* PITI $2100/month* Rent 2200/month (current tenant on a two year lease)* Potential rent on my side $2400/month * 100k HELOC at 11% (fixed) (not currently being used)* est additional cost to split the dueplex 75-100k (conservative, probably less)     *new siding 30k (just put on a new roof this year)     *legal 10-15k     *fire proofing 15k     * 15-40k for stuff I am not aware of or underestimated on* some of the appreciation is external from the home     *big grocery store put in 3min away     * newly paved road in front of my house     *a building that was falling down across the street has been torn down          * Still a vacant lot with the foundation exposed and fencing around it (so more local improvements are on the way)Part of me wants to take the money and run but man I love that 2.5% interest rate and the $2000/month cash flow (including taxes and capx)I have thought about 1031 exchanging into more rentals, but I would like to pivot into storage units.

Although many markets have seen significant run ups in prices, many of these markets are now only at, or sightly higher than their 2006 levels. 

Generally, you pursue the first one out of principle and apply the learning to subsequent cases.

You could get a new loan, pay 20% down (80k), and 7% interest on the remaining 320k balance, and that would cost you $2,129 per month (principle and interest).  

You could structure it like that, or structure it to pay the interest and principle of the loan each month too.Of course, your cash flow has to really work for this to not get you in trouble.

go by this Principle, most people like to work with who they know like and trust.

If there's PMI, pay down principle to get rid of it.

As you make payments, your principle goes down over time. 

@Joe Roberts just owning a property in an LLC does not disqualify you from conventional financing but to implement the strategy I referenced it would be difficult to do it in hind sight.