How to use a refi to purchase 15-20 SFRs?

[Bud Dwyer]

I'm doing a cash out refi on some buildings I own in order to buy 15-20 SFRs in another market. The purchase price of each SFR would be in the $50k-90k range. I plan on putting down %20 on each one.

The loan officer I'm working with has offered me a line of credit in order to purchase and rehab each one. When they are complete and stabilized with a tenant, convert them all to a portfolio loan. The problem with this as I see it are the fees for each purchase. It's a %1.75 draw fee every time I use the LOC. I also would need to cover the closing costs, and pay for two appraisals(One before purchase and one after rehab) for each property. While doing repairs on them I would have a %9.5 hard money loan that I have to service without rent money coming in.

What I would like to do is buy all the properties with the repairs costing $5k max, then slowly use the money I get from the rents to repair or upgrade one SFR at a time.

Anyone have any ideas?