I would also share pros and cons of paying taxes on the windfall versus owner carry.

Back then we were getting 1% positive carry e.g.

Section 8 would tend to carry higher repair and as a result, additional vacancy.OP’s definition of cash flow is rent minus piti.  

HELOCs are specifically helpful in this case so long as you are consistent with paying it back in a timely manner for the next transaction.

Having the seller carry a second is not a problem for the first, as long as their business with you is finished and the loan has closed.

Passive losses exceeding this limit can carry forward to offset future passive income or gains.

I can also document that I have over 1,000 plus real estate transactions as an agent and an investor.I had two transactions that they just kept lying and telling me and selling me you will have CTC in a week or less, From each of those points it was more than 60 days.I begged loan officer and processor to be truthful.Their failure to close in a timely manner cost me dearly.

The fact is that anyone who takes, leads, or carries away the property of another with the intent to convert it to their own use or deprive the owner of it is committing a crime. 

Can you carry the property for the construction period?

I wasn’t prepared to lose so much of my savings as carrying cost basically I paid for the tenants to live there for 3 months + my own living expenses in that time.