Sorry if I sound harsh, but that's irresponsible.

You can sell multiple properties and roll all the proceeds into one or two replacements without triggering tax, it’s called a “multiple relinquished property” exchange.The complexity mainly comes in timing and coordination.

Run the numbers to determine what a good price is by either pulling comparabels yourself or hiring someone to pull comparables for you, then pull the trigger and get it under contract. 

For my personal refis, I took the sure bet and went ahead an pulled the trigger and got mine at 6.25%.

Selling your rentals likely triggered some depreciation recapture and capital gains and if you do shift toward private lending or flips through your LLC, you have some solid opportunities to reinvest in a more tax-efficient way.Private lending income is taxed as ordinary income, so using an LLC, especially one taxed as an S-Corp if income grows, can help manage how that income flows and what expenses you can deduct.If you dive back into flips, keep in mind those are treated as dealer activity, meaning profits are considered ordinary income, not capital gains, but there are smart ways to structure it if that’s your main focus.If you have a clear tax plan going in, you'll start off on right path in realigning your investing strategy.

I am trying to use another property I already own as collateral on a promissory note as to not trigger any covenants.

What kinds of code updates should we expect this to trigger?

When the next housing boom hits, it’ll ripple across the entire economy—benefiting builders, lenders, brokers, and small businesses alike.The key trigger?

Quote from @Paul Merriwether: @Jay Hinrichs Predatory is pretty harsh.

Model both scenarios before you pull the trigger: current loan vs. proposed refi with realistic rent, vacancy, reserves, and CapEx.