$400k equity is producing $1600/month cash flow for a return from the cash flow of 4.8%.  

We also have shorter seasoning periods than most for cash out.  

I would find a property that can provide you both.I used to aim for 8% cash on cash return + 4% appreciationGiven where the market is now, it is likely hard to find 8% cash-on cash and a 4% appreciation.I think 4% cash-on cash and 4% appreciation is do-able.

They have had 100% occupancy at market rates and currently bring in around $2,000 per month in cash flow.

The biggest 'danger' I've experienced in the coaching space was coaches who took the cash and wanted me to follow 'their' program rather than coaching me where I am to get where I wanted to go. 

Thanks so much in advance for your help—I’m excited to be part of this community and learn from all of you! 

if the second buyer is paying cash then your done they pay your off and your first note.. off to the next one..

When you are at market value does the property cash flow well?

If not, ride out the 12 months with the hard money lender.People have to make good choices and not over extend themselves just for the sake of buying something they really can't afford or that doesn't make good cash flow.

Thanks in advance for your time.