Looking for advice/opinions

[Domnick Trani]

Hey BP Peeps, looking for some opinions, I'm not sure what is my best route to go. I am selling a rental i have that was breaking even on cash flow and I expect to net 250-300k in proceeds. Im in southern California and not really open to buying out of state at the moment. Here's what I'm going between. Let me know what you think:

1031 exchange into 4 unit that will cash flow around 1k a month

put proceeds into s and p 500. Pull margin against it to do my first flip when I find a deal. Have the money there as an option so I can buy another multifamily if I find a great deal. Would cost me around 25k in capital gains tax

keep proceeds, spend 150k cash on a mobile on my current primary which will rent for 2500/month. Leaves me with 100k i can put into a flip, another rental, or s and p 500 or high yield

I have a w2 job that I spend 40-45 hours a week on. My goal is to work the w2 for no more than 2-3 years before investing/flipping full time. I currently have 5 total rents that cash flow in total around 1k a month. 

this will be the most cash I've ever had at one point and I want to make the right decision. Thanks for your input

[Jeremy Melloul]

Man, congrats—that’s a great position to be in. Here’s my quick take:

1031 into the 4-unit — solid move if you want to keep it simple and avoid taxes. It’s steady, safe, and adds $1K/month, but if your goal is to exit the W2 grind in a couple years, that extra $1K probably won’t move the needle much. Feels like more of a wealth preservation play than a growth one.

S&P + margin loan — more aggressive, more flexibility. You’d take the tax hit but still have access to capital to pounce on a flip or multifam when the right deal pops up. Just remember margin isn’t free money—it works great until it doesn’t, especially if the market takes a dip while you're mid-flip.

Keep cash, build mobile on your primary, invest the rest — honestly this might be the best mix of income + optionality. $2,500/mo from the mobile is a nice chunk of change, plus you’ve still got $100K ready to go for the next deal. It gives you some breathing room and room to move fast when opportunity shows up.

If I were in your shoes, I’d probably lean toward option 3. It builds cash flow now, keeps you liquid, and gives you more ways to attack without locking it all into one play.

Either way, good on you for stacking up that kind of equity—just don’t go spending it all on vending machines and vending machine courses.