Making the switch from residential to commercial

[Bobby Pagliarini]

Currently have 3 residential multifamily properties (9 units total) they cash flow about $2,500 a month and there is close to $250,000 of equity accessible through HELOC. Getting into commercial real estate investing has always been the end goal for me and I'm wondering how should I approach doing this?

Sell my properties and take profit for down payment on a commercial unit?

Use my equity to purchase commerical unit, and let my existing cash flow pay down the HELOC I would be using?

Open to advice on my next steps. Thank you in advance!

[Bob Langworthy]

@Bobby Pagliarini, a third option is a 1031 exchange from one or more of the multifamily properties in to a commercial property. That way you avoid the capital gains of an outright sale.

Hope this helps,