Selling half of portfolio to paydown mortgages?

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Hi all, Was hoping to get perspectives / hear stories on how others approached the possibility of selling RE assets and using the proceeds to paydown debt on other properties. Here is what I see as potential +’s and -‘s: + increase cash flow by removing mortgages (so more passive income) + opportunity to sell underperforming assets - less assets under management (so less potential equity appreciation) - taxable gains (will not redeploy into RE as my sense is we are near the top of the market) - 30 year fixed mortgages in place at low 4-handle rates (based on simple bond math, the value of my liability is shrinking on a relative basis as rates rise) Other facts relevant to my situation: * RE is but just one asset in my portfolio (and I’m fine with that); cash flow and appreciation are great, but I’m looking at the asset class as more of a long term hedge against inflation * not looking to leave my day job and / or replace W-2 income entirely with passive income * don’t need the cash flows from RE; again, I see the asset as a levered inflation-hedging play

Hi all,

Was hoping to get perspectives / hear stories on how others approached the possibility of selling RE assets and using the proceeds to paydown debt on other properties.

Here is what I see as potential +’s and -‘s:

+ increase cash flow by removing mortgages (so more passive income)
+ opportunity to sell underperforming assets
- less assets under management (so less potential equity appreciation)
- taxable gains (will not redeploy into RE as my sense is we are near the top of the market)
- 30 year fixed mortgages in place at low 4-handle rates (based on simple bond math, the value of my liability is shrinking on a relative basis as rates rise)

Other facts relevant to my situation:
* RE is but just one asset in my portfolio (and I’m fine with that); cash flow and appreciation are great, but I’m looking at the asset class as more of a long term hedge against inflation
* not looking to leave my day job and / or replace W-2 income entirely with passive income
* don’t need the cash flows from RE; again, I see the asset as a levered inflation-hedging play