I know there is an FAQ about this, which would recommend just buying index funds, but that isn't as cut and dry for me.
TLDR: What would you do with $300k of savings if FIRE is your goal, and you had $7-8k of semi-passive income each month from rental properties and side business, plus income from your main career?
TMI:
I own 4 rental properties (2 are paid off, 2 have mortgages at 4.5% interest and about 33% equity), I own 50% of a side business, and work fluctuating hours as contract / consultant engineer (I try to keep this full-time when possible).
I always max out an IRA and HSA, sometimes even go further with a solo 401k. I need to keep some money liquid for the 4 rental properties (if a roof fails, or furnace dies). Plus I have an expensive boating hobby. No credit card debt, no student loans, no auto loan.
From rental property profits and the sale of 1 of my properties, I have a pretty large savings account. Looking for ideas / insight on what to do with about $300k of savings. Some background on the options I'm considering:
Buy more rental properties. I think I will do this, but perhaps once the market comes down, or if I find a great deal I can't pass up. In my area I really think we are at a peak right now, which is why I sold 1 of the properties.
Pay off all debt. My house has $135k left at 2.875%. I could pay this off along with both rental property mortgages. That would free up $2300 per month of mortgage payments. But then I lose the tax deductions and immediate purchasing power.
Invest more in the stock market, taxable account. It seems risky to dump all of this in a taxable account. The only way I can justify doing that is if I have extremely long-term plans of leaving it alone in the event of a bear market or recession. I have a history of being unlucky with stock market decisions, hence the rental property income approach to FIRE.
My credit union offers a Max Savings Account for this amount of $ where I'd get 2% interest and have complete access to it. I could add rental profits to it each month and end up with a free $6k (or more) each year and zero risk.
I'm sure there are other options I'm ignoring?
What would you do?? :)