Purchase price: $123,000 Cash invested: $15,000This was a 4-plex in C+ condition in what was then a small college town.

Hey guys,  Im thinking of shifting my traditional checking/saving account and mortgage to a manulife one account which my broker has suggested so I can be ready to pounce on a house and properly conduct the yellow letter direct marketing offering cash when they want it. 

If your intent is to rent out the condo you own free and clear, and do a cash out refinance with a business purpose DSCR loan, you will also need to be careful as the funds received from the refinance need to be used for business purpose only. 

My question is, do I just not touch the first property, use the cash flow to reinvest and pay down the mortgage or save up for a downpayment down the road OR do I pull cash out of the first property to buy the next property?

Purchase price: $305,000 Cash invested: $25,000 Residential single family residence rental.

I find condos with no elevator tend to have lowest HOA and cash flow best. 

You could take a few steps to mitigate future issues:1.Consult a contractor or inspector who could confirm whether it’s up to code (closet or not).2.Make the closet a legal, small fix to have it fully compliant—shouldn’t cost much to do this.3.Double-check with local zoning or the building department about the possibility of retroactive permitting or what kind of inspections would be needed for it to be officially recognized as a 3-bedroom.From a cash flow perspective, adding a legal third bedroom could boost your rental value and ultimately your property’s appraisal value.

Purchase price: $570,000 Cash invested: $30,000 This is my first house hack!

Government support is great.  

Distributions are cash flow, not necessarily taxable income, as they often come from net rental income (already reported) or return of capital.