Sell Property 1031 vs Keep Property
Hi BP'ers:
I am thinking of selling my multi-family with potential upside of $100k equity. The decision I get to make is do I sell with 1031 exchange to obtain a four unit property and build wealth by moving into more doors or sell my 3 unit that is only breaking even? The upside that I see is that I can move into a four unit and add value to it and reach my goal of starting in commercial property. However, by keeping the current property, I can potentially make one unit into an airbnb and increase the cashflow. What should I consider when making a decision? Sell with equity or keep property?
FYI - this is my first multi-family and my goal is to build wealth. If I keep my 3 unit, it might take longer to reach my goals of owning buildings and starting with the first 4 units is a start.
I know a lot depends in my case, but I would like to request your thought on what I should consider when making my analysis. Thank you.
Jorge