The seller made a healthy profit, allowing her to reset her financial situation2.

"scaling" did somewhat become the trending thing to do at a certain point, but there is something to be said for a lean efficient healthy company that allows its employees and owners to live the lives they want. 

I would keep the duplex and healthy cash flow then repeat the process if possible. 

Yes I am continuing to do flips, I have slowed down, so I can focus on building a healthy team vs trying to go after volume. build a good team, develop good tools; then you can cover the costs until you are able to better leverage and reduce costs.

I also support the idea of having a healthy manufacturing base just in the idea of general national defense, besides providing jobs.

.✔ Job Growth: A strong job market means stable employment and a healthy economy.✔ Household Income: Target areas where the average income is at least three times the rent, preferably $50K+ annually.✔ Population Size: Look for cities with 100,000+ residents or part of a larger Metropolitan Statistical Area (MSA).The Investor’s MindsetSuccess in real estate isn’t about emotional attachments—it’s about data-driven decisions.

.: @Jeremy H.something to think about though - the birth rates in red states and blue states are pretty similar... to try to bring this back to real estate... my understanding from the data is that, for the next 10-15 years, household formation is going to be pretty healthy. 

Investors also follow the 70% Rule, which suggests that a property should be purchased at 70% of its ARV minus estimated repair costs to ensure a healthy profit margin.

The barrier to entry is much higher than the initial $40k down payment, assuming you could even cash flow positively with that little down in such an expensive market with current interest rates, let alone the entire PITI payment and cash reserves needed.In the spirit of healthy debate, if anyone disagrees with me, I challenge you to find a duplex in San Diego that cash flows positively at least $1/month with 5% down.

Maintaining a healthy debt-to-equity ratio and strong cash reserves will be critical.