I know that real estate often takes a lot of capital to get started, and that's something I don't have at this stage.

You also may need to start with more capital so you are prepared for unexpected situations.

Also, I'm not sure how you're paying attention to it on the tax side, but the unit that you are living in's profit at sale is calculated differently than the other unit that you're renting out.Once you move out, that unit is officially available for rent so from that point forward, any profit gained at future sale will be calculated starting from that point and will be taxable.

Several years prior to Covid I got my finances in order to start investing.

This summer planning to permanently move to Texas to start a Property Management business.

Regarding finding discounted deals......That is the reason why I started a wholesaling business. 

Typically starting with a smaller rehab budget of $50K or less (maybe a max of $75K) and avoiding a 1 to 1(or higher) ratio of purchase to rehab costs is recommend when you are first starting out. 

I have a portfolio of SFR out of state, but I am looking to start doing some deals on LI and want to build my network up here.

While sophistication of your equity partners (private money lenders) will vary between residential and commercial, the principle of raising private capital is the same.You need to develop your own system which allows a constant stream of PML even when you don't need the funds and/or don't have an active deal under contract.For example; I raise private capital by offering free educational workshops for people with self-directed IRAs.

My dilemma has been that I've gotten a little behind on some revolving debt that selling this property now could eliminate in addition to giving me cash on hand to trade into some better value or start a new construction duplex project I've been wanting to start.