Continue Holding or Cash Out before the Crash??
Hey BP family,
We've been around real estate for more than a decade but really started focusing on growing our business over the last 2 years. We currently own 2 properties, 1 that is a long-term rental and the other is a fix and flip which we should have on the market in the next 30 days.
We are trying to decide if we should sell the rental and cash out, refinance it and take some cash out, or refinance and reduce the interest rate in order to increase our cash flow? The rental is cash flowing $240/mo., so if we refinanced we could still maintain positive cash flow. If we sell we could cash out and possibly pick up 2 more properties this year, if we refinance and cash out, we can do 1 more deal this year. Our goal this year was to acquire at least 2 properties for fix and flips, which we could definitely do if we did the cash out. THE BIG QUESTION REALLY IS, WITH THE UNCERTAINTY OF THE MARKET SHOULD WE TAKE THE CASH AND WAIT UNTIL THE MARKET TURNS OR RIDE IT OUT WITH THE RENTAL?
Thanks as always for your insights, questions, and honesty!!
Myron L Head