Feeling stuck and looking for advice.

[Kamron N.]

My wife and I live in CA and earn decent income. Didn't want to buy a 1m condo here so in 2021 we got a 300k condo in AZ. Negative cashflow due to super high HOA. (-$800/mo!). Market value now 285k. Remaining mortgage 260k. Great tenant though, reliable, on time, etc.

I now realize we should have bought a SFD in the midwest (ex. Indiana) for under 200k and we would be cashflowing $400/mo rt now. Now we're living paycheck to paycheck, not much in savings, and don't have another 30k to drop on another property. But I really want to start acquiring 5-10 properties described above, over the next few years. We've considered selling for a loss, or seller financing to a potential buyer. We have no friends or family to borrow another down-payment from. Nor any interested "capital partners". If we wait to save 30k, or wait for our AZ condo to climb above 300k, we'll be waiting 5-10 years. Any recommendations are appreciated. Thanks!

[Nicholas L.]

@Kamron N.

hello.  i am sorry to hear about the issue with the condo.  what are the complete expenses and details?  maybe folks can provide better advice if you provide more information.  it seems like you should at least consider selling, i just don't like advising people i don't know on major life decisions like that.  i would consult local experts and see what they think.

i strongly disagree that if you'd bought a random property in Indiana you'd be cashflowing $400 a month.  that's just hype.  unless you have some kind of inside track to unicorn properties specifically in Indiana, which I don't think you do since you just proposed it as an example, if you'd bought a random property in Indiana, you'd be negative cash flowing due to deferred maintenance like so many other folks on BP who throw a dart at the map in the midwest and buy solely because of the lower price points.