Note that active income isn't the same thing as non-passive income, it's lower bar that just requires that it's a business activity that isn't just entirely passive. 

A higher LTV generally requires a higher DSCR ratio such as 1.25 instead of 1.

The city required the road to be extended a few feet, along with water and sewer.

Principal mortgage balance is $159,531.

Purchasing a “distressed” property and “repositioning” it requires significant capital for improvements, build outs, holding costs, maintenance.In looking for that “needle in a haystack” slam dunk great deal you’re competing with very knowledgable, greatly experienced investors with the cash to make no contingency offers and close in a few days.  

All things being equal, I would accept these applicants, but I would require them to pay a deposit equal to two months of rent.

As noted, commission are always negotiable as are brokerage options (full service to discount companies that pretty much just post it on the MLS and you work with all calls, offers, etc) and an agent can go over likely net out scenarios with you and give you an idea what you likely will be able to net after closing expenses and paying off the mortgage balance. 

In California the DRE does not require you to join any association.

It is also important to consider the transactional fees associated with originating the HELOC, whether an appraisal is required etc.

KNOWING real estate (or delivering babies) is a requirement for an expert.