So here is the situation:

I own the following investment properties on the two block where I live and have been renovating and flipping houses over the last 5 years.  The values are now on the verge of changing drastically.  Here is what I own:

  1. 1.  Two lots that are build-able 
  2. 2.  One single story duplex (2br/side)
  3. 3.  A single family home that is in need of a total renovation.
  4. 4.  I also potentially have access to another home (at a wholesale purchase price) that is in need of a renovation but has some other things that make it desirable (large lot).

Here is the dilemma. I only have about 25K in cash for the renovation of the double (which is the project that i would like to do) However, all plumbing, electrical and HVAC needs to be completed as well as some structural changes to make each side a usable 2BR unit. I estimate that this renovation would take about 80K. I could do a flip for that amount of money and the initial return would be about 100K on that investment. I think that I could BRRR the rental, but I am concerned about the value of rentals in this area and getting the cash back out of this investment. Not only that, but fixing the double would stretch my cash reserves and potentially put my contracting business at risk. I could sell the property, which I already own and generate some cash to do a flip or a new build. Looking for some wisdom here, knowing that I do not want to push myself into a cash poor situation.

Thoughts?  Thank you,

Geoff