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Subject Expert
Perhaps. Taking money out also invests costs ( cash out refinance) or requires a sale. If a property continues to rise, If you have great cash flow and good tenants, and don’t need money - why sell ? Some of my properties are up 250k ... but have a great tenants so don’t want to change that.
Do BRRR. Take any extra equity out of your current homes above 20% and buy more properties. As long as they are cash flow positive, you are building equity + getting solid cash flow. Cash flow will be better in cheaper cities and appreciation will be much better in bigger cities. You can have up to 20 mortgages at a time with your SO
Coach
I manage to a lower D/E ratio than most, so as long as I’m expanding I just slowly pay off my houses.
They’re on 15 year mortgages, though, and EVENTUALLY it’s less about growth and more about income (during retirement), so a slow and steady 15 year payment plan seems reasonable.
The summary - eventually, you stop leveraging your houses. That’s also when you stop growing your portfolio, for the most part
Subject Expert
I also have some 15 years on houses that I plan to just keep. We have 4 houses in pipeline for purchase - just not much else to buy right now even if I did have extra cash.