Proceeds from primary residence investment decision point

[Travis C.]

Hello,

I'm not a newbie investor, but wanting to see if anyone has any fresh ideas outside what I've been mulling over.

I am selling my old primary residence that I just moved out of recently and it is free and clear. It'll generate about $300k in proceeds that I absolutely will be deploying to new real estate investments.

Trying to decide if I want to plop down 25% on multiple SFH rental mortgages, buy 2 rentals all cash, or put down the $300k on an apartment building at this point. What do you guys think in today's environment. Typically, I'd keep taking out mortgages with 25% down until my fund were about dry, but that strategy is getting old and boring to me (though it has been successful over the years).

Just wondering if anyone has any immediate thoughts.

Best,

Travis

[David Barnett]

Is this $300k tax free (i.e., are you married filing jointly)?  If you aren't marrying filing jointly, make sure you leave some of the proceeds for the capital gains on the same.  

Here comes the section where I answer the question that it depends on your goals.  I personally think apartments are pretty hot right now.  Buying properties for cash is the least risky option.  25% down on what you can is middle of the road (obviously).  I'd probably go towards 25% down on good deals (I would be very picky in this market environment, though).