TMP equity was down $12K this month but that comes with a lot of caveats. We sold our 29th Ave house, we bought four new build houses in Coolidge, AZ, and refinanced the original TMP house on Valencia.

So, to go over the changes one by one. Last month we reported:

“We did put 29th Ave on the market at $325K. After a bit of haggling, we got a full price offer and a bunch of low ball offers.”

The sale closed on February 23rd although we still carry it on the books for this month. It sold for $325K. With the proceeds, about $133K, we made an offer on two new build houses in Coolidge, AZ. The builder is closing out the development (six houses were available, we bought two for TMP2 and two for TMP). These are new build houses completed in January 2025. As part of the deal, all four houses will include washer/dryer, refrigerator, standard blinds on the windows and a basic backyard landscape package. This will make them move in ready at close of escrow (COE). And this is a 1031 exchange so all of the gain on the sale is deferred. We intend to put 25% down. The $133K will almost cover the entire down. So, we have sold a five year old house and exchanged it for two brand new houses, both slightly larger than the sold house.

In addition, we looked at selling the original TMP house bought in 2019 on Valencia. Instead, we decided to do a cash out refinance to get some of the equity. We were planning to net about $100K, but ended up at $85K. This will lead to the down payments for two more houses in Coolidge. All four houses ranging from 1,439 to 1,859 sq ft, are on the same street in view of each other. Our property manager, Sherman Weekes, reviewed the houses and feels that they will rent well.

And we are bullish on Coolidge. P&G announced in December that they would build a huge $500M manufacturing plant there employing 500 workers to build and 3000 – 4000 afterwards. On the negative side, EV truck manufacturer Nicola declared bankruptcy last week. They have 350 employees at their Coolidge facility.
To recap, we started February 2025 with one TMP house and three TMP2 houses, for a total of 2.5. After closing, scheduled for late March we will have three TMP houses plus four TMP2 houses, for a total of 5. We have doubled our assets using the appreciation of the last few years.

And on a great positive note, our TMP demographic expert, Ryan Barlow, was installed as a pastor. Praise be to God.