I'm in a beach area where Sat to Sat rentals have been traditional for 100 years, but not any longer since the rise of Airbnb (and less control by local property management companies).

HI, Is opening a LOC on my primary a good option to fund flips or is there a better solution to get the funding?

I’ve bought my primary with various Schedule C income and refinanced a primary with lots of schedule c and a number of properties (mostly owned in LLCs but reported on my personal return).

Quote from @Henry Clark: Quote from @Jake Andronico: Quote from @Arn Cenedella: @Jake AndronicoI’ve looked into them but have never executed one.Let me say they will be expensive and complicated.I think what you will find if one is trying to defer $50,000 to $100,000 in gain, it’s not going to be worth the time and trouble.On the other hand, if client is trying to defer gain of $500,000 to $1,000,000, it’s worth the time and trouble.I use First American Exchange for my own account a dozen times and they have been right on the money.Google them and reach out.ArnIt's definitely more expensive than a traditional 1031 exchange, but being able to secure properties upfront can be super convenient.   

Quote from @David Martoyan: Has anyone here successfully adjusted their strategy to focus on finding deals that don’t follow the traditional ARV formula?

As someone who is just starting out, I am eager to learn and grow in this field.Experience Level: New to investingGoals: My primary goal is to become a full-time rental property investor.

The value of the home is not increasing substantially at all - the primary reason for the increase is higher risk is due to storms every year the past several years.

The tenants are currently in court with a title dispute so the house would have to be paid for cash only.I would like to convert it to a primary residence and turn the garden level into a separate two bedroom apartment for use as an in law suite.

Starting out, I would try to take equity from your primary/another property using a HELOC, borrower against a 401k/retirement account, or partner with someone that has cash. 

If it needs that much work will a traditional lender finance it and are you qualified to get financing?