Selling before rates rise can help preserve buyer purchasing power, which supports your sale price and demand. If you’re also buying, locking in a lower rate now can reduce long-term costs compared with waiting into a higher-rate environment.?

Focus on maintenance (roof, HVAC, plumbing), neutral cosmetic updates over time, and keeping good records of all improvements. Periodically declutter and tackle one project a year so you’re never facing a massive, last-minute prep sprint.

Plan the sequence with your tax advisor, since multiple sales can push gains into higher brackets or interact with 1031 exchanges. Stagger closings if helpful for cash flow, and keep careful records of basis, depreciation, and sale costs for each property.

When you sell a rental at a gain, the IRS generally taxes prior depreciation as “recapture” at up to 25%, separate from capital gains. A properly structured 1031 exchange can defer both capital gains and depreciation recapture if you roll into another like-kind property.

Expect strong equity but also older systems and finishes, so a pre-listing check on safety and key updates is smart. Work with a tax pro on capital gains and exclusions, and consider simple, high-impact refreshes (paint, lighting, landscaping) rather than full gut renovations.

Compare your expected sale net to projected rental cash flow after expenses, vacancies, and management, and factor in your tolerance for being a landlord. Also consider tax treatment—selling may trigger or avoid capital gains now, while renting shifts you into investment property rules with depreciation and future recapture.