#523: What Should You Do With Your Trapped Equity?

Denver Investment Real Estate

Is selling a rental property with a 3.6% interest rate ever a good idea?

On this episode of the Denver Real Estate Investing Podcast, host Chris Lopez and his expert panel reveal why one investor is doing exactly that – and tripling their money in the process. You’ll discover:

• Why Denver’s housing inventory is up 68% year-over-year, yet still far below historical norms
• How a property purchased for $110,000 in 2018 is now worth $315,000
• The surprising reason negative cash flow on a new build might still be a smart investment

Chris is joined by Southern Colorado expert Jenny Bayless, who breaks down her decision to sell a long-term rental despite its rock-bottom interest rate. Denver specialist Jeff White teases an upcoming fourplex deal that’s dropped from $935,000 to the $650,000 range. And mortgage expert Troy Howell provides critical interest rate insights that could impact your next move.

The panel dives deep into real-world numbers, sharing specific cap rates, cash flow projections, and appreciation data. They debate the merits of new construction versus existing properties, and explore how factors like property taxes and deferred maintenance influence long-term returns.

Tune in for a data-driven discussion that challenges conventional wisdom and provides actionable insights for navigating Colorado’s dynamic real estate market in 2024.

https://youtu.be/AiF-qXRlh64

Timestamps

(01:29) Trends in Southern Colorado and Denver

(10:45) Mortgage Rate News and Employment Numbers

(14:39) Deal #1: Selling Properties for Appreciation Gains

(22:13) Exploring the Trade-Offs: Cash Flow vs. Trapped Equity

(30:41) Deal #2: New Builds

(41:22) Teaser: Potential Fourplex House Hack Deal

Links from Podcast

Nova Home Loans: https://troyhowell.novahomeloans.com

Email Troy Howell: [e-mail]

• LinkedIn: Troy Howell

Email Jeff White: [e-mail]

• LinkedIn: Jeff White

• Denver July 2024 Real Estate Market Updates
• Colorado Springs & Pueblo July 2024 Real Estate Market Updates

Who is Nova Home Loans?

For over 40 years, we’ve been focused on helping homeowners find the perfect loan to fit their financial needs and personal goals. Working with NOVA is a personalized experience from initial application to final loan closing and beyond. We will be with you every step of the way toward successful homeownership. Start working with NOVA & Troy Howell today!

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