Taxes, insurance, water and electric are $4,000 a year total. 

@Pandu Chimatait is unclear from your post if the total gain is 20K or if you and your partner each have 20K of gain.If we are talking about 40K of gain - you and your partner would be saving $12,000 of taxes(based on Dave's suggested federal and state tax rate).After an approximate $1,000 fee for the use of a 1031 intermediary - there is a potential of $11,000 of savings if you do a 1031.It is something you should consider if you plan to continue investing in real estate.

Ahhhh infinite cash on cash return, that makes total sense now.

If I lived in KC I would totally do this.

Which is totally crazy to ask of your tenants, I think.The only con may be that lots of online rent payment platforms have crazy high fees (one of my tenants used to pay a $22 processing fee to his old apartment), but there are plenty of options that are free or otherwise affordable.Right now I use Roof, which costs $2/transaction.

Curious if anyone has used CommercialLoanDirect.com, or any other alternative to local banking community that may offer a lower total cost (rates/terms, closing costs, etc.)?

It might be an idea to rent a room in your house in the meantime, if you're up for it.I advise you to make a calculation for the next 2 years: all gains and expenses per each project, how much total gain you will have in 2 years if you do a flip vs a rental after paying all the expenses and mortgage and selling the home.

I have 4 rentals here in a Columbia which I plan to keep, and my home, which I will likely sell if I move (for the capital gains tax benefit).The question I have is that Seattle is a hot hot hot market and while I’m totally fine jumping in with both feet, part of me wonders if it might not be a better market to rent in, which would  allow me to use the cash from the sale of my house for other investments.

Why would someone sell you a property that is totally turnkey for less than what it's worth?

Excited to say that we just closed our first deal on a duplex, yesterday. 75k total loan.