Even if you get a great deal that is 20% below market, appraisers will typically be anchored by the last sale price and you may be stuck not being able to pull out as much cash as you need to pay off the HELOC.

The value of cash in hand today vs cash in hand tomorrow is significant and you should account for that for both sides of the transaction for any deal that you make. sellers going to do their best to sell their asset for max price.

Purchase price: $417,500 Cash invested: $37,575 Technically a single family by zoning, though set-up to be a duplex, with 3 beds and 2 baths per unit.

Where else do you have a chance of getting that sort of tax free cash when you are young.You could also renovate, refi and rent it. 

Your S-corp does not have the cash to pay you.

Some will sell SubTo for full price, if you give them cash for their equity.

In more than half the country you don’t even bother with cash for keys because evictions are simple, fast and cheap.The part of the system that’s broken if you’re doing “a lot” of evictions is your screening.

But if you want to use a conservative approach and use the extra cash flow to pay off debt versus further investing, I think that's a very legitimate way to go about it.

Between the equity on the condo and the extra cash you have, you can purchase 2-3 homes. 

Cash flow is difficult here in California, and so I'm looking for opportunities that have strong appreciation and long-term growth opportunities with strong tenant bases to complement my long-term investment strategy.I appreciate any insight and stories.