This is my scenario, 1, I could refi and pull out 140k which leaves me with a essentially brand new house to rent with a 400-600 a month cash flow and if the market holds, about 100-150k in equity. and i can reinvest that 140 into a new primary and most likely 1 other investment property, maybe two..its a tough market in Seattle, i would have to venture further out. or 2. sell, and realize realistically around 250-300k free and clear(I would have to pay capitol gains over 250k I believe), then i would need to buy another primary which i could do with 50k, and that leaves me the rest to invest as i see fit. this scenario is a lot more inconvenient because I would need to sell/move/rearrange my life to accommodate, but It affords me a bigger chunk of cash to work with that isn't tied to any one house. and potentially affords me a few more options like buying a house cash without having to borrow from a hard money lender, etc. to do another flip,  or  get into multifamily, or just get a few more buy and holds. 

Nothing ventured, nothing gained. 

With a sizable bankroll, monthly passive income to support me in the interim and connections in the mortgage industry, I felt very comfortable about having chosen investing in apartments as my next venture.

We're in the midst of creating a Joint Venture Agreement.  

Wishing you all the success on your real estate ventures!

Paperwork, costs, etc.And that pretty much sums up business in this country, especially for the small guy just starting out - to pile loads of crap on top of them as they start whatever venture they are interested in - two key points here - liability and taxation@Jason Hardin I think the biggest reason, as your post started out, was "claims against you" and your limited liability, if ever a claim arose.

I know automatically divert those funds into my investment account and deploy that capital into RE.Good luck with your real estate ventures.

I'm interested in speaking with established lenders in the area that are willing to finance this venture.

It was a joint venture (with some Local Active Investors:Key) and I got 20% of the spread for me and my business partner!

I am just getting into property investing and for my first venture I was thinking of converting my own current home into a rental property.