I have been working with investors over the last 3 years helping them find good deals on land in desirable locations and then building a new house on it to resell.

That being said, it's a cheap and easy addition, and if you have tenants who have expressed a desire to use the back yard it will likely be a hit.

That's why I have decided to diversify my investments.I am considering purchasing a house in a highly desirable community with good schools for $300-330k.

For me I’ve found the lower cost to entry to be more desirable in the residential market.

What's up Jay,Given your situation, here are a few strategies you could consider to secure the rehab budget while respecting the seller's desire to maintain a first-position lien:Home Equity Loan or HELOC:If you own your primary residence or another property, consider tapping into its equity through a Home Equity Loan or Home Equity Line of Credit (HELOC).

Depending on the investor, you might have some luck if you have a signed lease and 3 months of rent seasoning at the desired rental rate.

I meant I have heard east cobb is the desirable area but since 30064 is within the city limit,  I wanted to check if it's a good/decent area to buy a new townhome in 400k range.

It cites Covid work from home as the reason, where people desire more privacy now. 

My conviction for doing out of state fix/flips was mainly procured by the desire to have more options and opportunities available rather than having to be tied a more trying California market.

Any of the suburbs should be good candidates, the school district tends to dictate the desirability.