Can I BRRRR with $60k Cash?

[Justin Franklin]

Should've titled this "Can I BRRRR with $60k cash" -

I'm considering growing my real estate investing career using the BRRRR strategy. I've started the process to get a $60K HELOC from equity in my first investment property. My question is...is that enough to start the BRRRR process and invest/fix up a property in an area that wouldn't give me a headache?

Based off of my math, below are the numbers. Would they work? Is this enough to get started? If so where?

I've done some homework in Cleveland and Detroit, but I'm still unsure of the rehab and ARVs in these areas...I live in CA:

Property Value: $280K

Mortgage #1: 165K

MAX HELOC (based off Pen-Fed 80% CLTV): $60K

Property purchase price - $25k-$35k

Rehab costs - $23k - $35k

Thanks everyone! Excited to start this conversation. I hope it's engaging and helpful for others as well.

[Tchaka Owen]

@Justin Franklin - the numbers at the bottom of your post answer your question. However, that's not the right question to ask. A truly relevant question is: "What is the likelihood of a successful rehab in Cleveland or Detroit when I live in LA?" There a many places where if you don't keep an eye on your project, it either doesn't get done or prices quickly rise. You don't want to be on the wrong end of that.