LOL  Maybe a fender bender from a typical market cycle. 

-I have a feeling that we are going to have another another real estate bubble pop at least in our area given how quickly the prices are rising based on the past corrective real estate cycles.  

Welcome @Christopher Pray to BP.I've lived in Jersey City for 10 years now and have seen the boom-bust-boom cycle that this city experienced.

Option 2 would take longer to purchase another, but after my money would be pulled back out of the deal, I could reinvest it all and continue the cycle, acquiring a bunch of properties in a short amount of time.What would you all do?

For me, the key is to have an overall plan and strategy to reach your goals as well as an understanding that the real estate market is cyclical and different strategies are more fruitful during different "natural" cycles of the market.  

People either buy property or you miss the cycle all together.If you can own a NNN for a 7 cap instead of a small multifamily for a 7 I understand you get less headache for the same return.There are longer term debt solutions.

But I'd be more likely to apply it to someone who has survived both the up and the down parts of a market cycle rather than just to someone who's done a lot of deals.

And they will probably cycle out again to a new neighborhood before it becomes a real issue.

Also make sure that you learn your property manager's cycle.  

No one wants to be constantly cycling tenants because you have offended them.