A hybrid approach could also work—perhaps using a HELOC for reserves while saving the stock portfolio and 401k loan as backup options for future opportunities.

@Roy Kinzer Rent control in NJ can be a tough pill to swallow and unfortunately has caused many of my deals to fall apart quickly once buyers/future landlords realize how strict the controls can be.

Disclosure: Previous, current and future purchaser of Matt Scott's services.I have personally used Matt Scott and Incite Venture Capital to create my fixed income fund.

DC we will see legislation introduced in the pretty soon future.

So, every non-government job your tenants have will vanish in the foreseeable future.

You’d also make all future capital gains at least partially taxable instead of tax exempt by converting your primary to a rental.

We're exploring creative ways to provide him with the cash needed for the down payment while avoiding triggering a taxable event.One strategy we're considering is purchasing his future primary residence ourselves, making the mortgage payments, and then, once we've built enough equity—comparable to the appraised value of his rental properties—transferring the title to him as a form of exchange.What are your thoughts on this approach?

Keep in mind, there are scenarios where you can use creative financing or OPM to get that duplex in the future.

If the partner wants to get a bigger cut on future deals, they can save their money and buy into a larger percentage on the next deal.

What are your ultimate goals in your future investment?