Welcome to BiggerPockets, and thank you for such a clear, well-structured introduction.You’re navigating a situation many investors encounter later in their journey: strong equity, complex property condition, and multiple strategic paths.A few framing thoughts that may help:When a property needs heavy rehab, the central question is rarely “flip or hold.”It’s whether the numbers remain stable under conservative assumptions.Renovations almost always expand beyond initial estimates - not because contractors are unreliable, but because older properties tend to reveal hidden layers once work begins.Running scenarios with wider rehab buffers, longer timelines, and softer exit values can help you quickly see whether the opportunity is resilient or fragile.On the hold vs sell discussion:Adjacent properties can create real long-term advantages - operational efficiency, simplified management, and future optionality.

Getting an initial loan at 75% allows us to not have to come out of pocket as much and then we "Refinance" into a "no cash out" loan when we refinance.Hope that makes sense.

I've done some research and have a strategy, but I want to do this in the most legally sound and tax-efficient way possible while avoiding unforeseen pitfalls.My Goal:To consolidate my two current rental properties into a property that will initially serve as a rental and eventually become my primary residence in retirement.My Plan:Here is the step-by-step strategy I've put together: Sell my two rental properties (VA Loans) and execute a 1031 exchange, rolling the proceeds from both sales into the purchase of a single investment property.

With the profit from the first deal I would pay for the initial investment technically.  

They initially are suing for the investor list.  

Book a Tax Discovery Session here: taxplanningboutique.com/book.

**Self-manage (at least initially)** - If you're budgeting 8-10% for PM and this is your first property, managing yourself the first year gets you that $200/month instantly.6.

If rates continue drifting lower, limited inventory could once again put upward pressure on prices.Labor & Inflation Updates (Still Mixed)Initial jobless claims fell slightly to 209,000Continuing claims dropped to 1.83 million, though still elevatedDecember Producer Prices rose 0.5% month-over-month, hotter than expectedMost price pressure came from machinery and equipment margins — not broad inflationWhat’s the bottom line?

However, my experience with the program significantly differed from what was initially promised.One of my primary concerns was the issue of missed classes.

Initial leverages can vary greatly based on location, experience on title, and ratios.