Hi everyone. I found this site last night and have been reading it all day! Thanks for all the great info.
My husband and I live in Austin, don't plan on having kids, and both do social work (so make modest salaries). Exactly 5 years ago, we put 20% down on a 195k SFR, our first home. In January 2013, we put 25% down an a 180k duplex that is just at the 1% rule and cash flows $500 a month. The market here is insane. The duplex is now worth 220k, and our primary residence is worth 285k. We're considering cashing out to 80% on our primary to buy 2 more rentals, probably a SFR just south of here and one multifamily in the midwest. Our retirement plan is to buy and pay off 4 or 5 rentals, and this seems like a quick way to jump start the process. Is cashing out a bad idea? The new mortgage will be well within our means. We don't have other debt and live very simply. I'd appreciate any advice you more experienced investors have. We will likely stay in this house forever.
Thanks!