Plus, investing in new construction has meant fewer headaches and better cash flow for us over time.Real estate isn’t without its challenges, but it’s hands-down the best way we’ve found to build long-term wealth.

Here is an example: We run a fund that has a transfer agent that handles the cap table.

Challenges?

I’d love to hear from others who have navigated similar challenges or have insights on improving profitability in the short-term rental space.

Challenges?

.$500,000 will turn into $1,000,000 in less than 7 years.Great return and little to no work.You may want to consider spending $400,000 on stocks and $100,000 on a rental property.Take the $100,000 towards a property and see if you can make a return and handle the work involved.Best of luck!

Any unique challenges?

The challenge for me will be to attempt to mirror this type of financing approach to Southern Calif. real estate. 

Even if the new property only breaks even, you have shown an ability to handle the debt of the HELOC very well.

But at current prices and interest rates, this will be very challenging unless you go to cheaper areas or nearby suburbs that are cheaper.