Ok so I am having trouble deciding my next move. I'm looking at buying a new primary residence in the next few months. Here are some facts followed by options a and b.
Primary residence worth 120,000. 3 bed one bath. Would rent for about 950. It's paid off
First rental property is a 4 bed 1 1/2 bath......owe 60,000 and is worth about 110,000.....rents for 925
70,000 in the bank to work with
Plan on using the rent from one of these houses to pay next primary residence mortgage(I also have a w2 job)
Will be using the re
Move and rent out my current home for 950 and use that to pay new mortgage. Take out heloc on this home as down payment on a couple new rentals.
Move and sell my current home. Use the money to pay off my current rental(which would start paying my new mortgage). Then take the extra 50k-60k to use for down payments on a couple new rentals
Hope this isn't too confusing. What would you do? I'm leaning towards one option but I want to see what others say first.
Stay where you are, unless a job move is forcing you to move, pull all the cash out of both your primary residence and your rental to invest in additional rentals.
As it stands your equity is killing any possible cash flow from your investment or your primary to use as a investment.
Cash needs to earn it's keep, yours is dead and buried.
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