that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

They would be putting in some money and their service as sweat equity, and we would be putting up money and my wife’s services. 

I had to get a home equity line for about $20K, which put my first and second mortgage at $153,600.

I’m not looking for a step-by-step guide, but I know I’m not the only one in this position.

They look for something called "equity skimming".

What does a cash positive investment mean to you? 

We bought it for $399k, and it’s now worth about $650k with $250k equity.

If it is a credit/equity line, you could provide a lender letter that the funds are available immediately for funding - and cured any recission period. 

With the equity you’d free up, paying off $50k in personal debt and boosting your credit score while freeing up $3k/month sounds like it could significantly lower your stress and open doors for future projects.That said, selling means you’d lose a cash-flowing asset, even if it’s not huge.

Its a risky expensive job.Obviously this is one market but the trend is not positive.