Hey Yogendra, sounds like you and your wife are in a great position to start—having solid reserves and dedicated investment capital already puts you ahead of most beginners.

If so you can exclude $250k (single) or $500k (married) in capital gains.

Encourage you to consider stacking duplexes as you should always have a rent check coming in.Lansing, MI is the State capital.

Taking a loan via cash-out refinance can also free up cash for other investments while keeping the property generating passive income.Sell and Invest in Multifamily: If you sell, you’ll face capital gains tax, but you could use a 1031 exchange to defer the taxes if you reinvest in a similar property.

The rental income is eaten up by capital expenses and the fees I displayed.

That will be the most affordable capital with the ability to build meaningful long-term relationships.

Sometimes the best first investment move is selling right, learning the process, and rolling that capital into something with clearer returns later; I really hope this helps you out, I sent you a DM on BP and hope you can assist too. 

.- Time Capital Bookkeeping (REI myself since 2019)

I have roughly $80K in capital gains from the rental, so it seems to make sense to do the 1031.

The lack of say on big events like a return of capital refi or exit would drive me nuts.