Financing: I'm confident I can put $10,000 down as a down payment within the next year.

Late payments, property damage, and evictions are avoidable when you have a PM who knows how to find reliable renters.I encourage you to seek out a property management company that emphasizes tenant screening and uses modern tools for verification.

"reinvesting the full proceeds without financing or using leverage to enhance returns is key"So I cannot use it as a down payment for buying a place with financing?

With the HELOC and then converting it to a term loan you will probably be paying higher interest and/or shorter amortization period on conversion which will mean higher monthly payments.

If they work independently, set their schedule, and use their resources, they might qualify as a 1099 contractor, but misclassification risks IRS penalties.Wages for W-2 employees and payments to 1099 contractors are both deductible business expenses, but compliance is key.This post does not create a CPA-Client relationship.

However, Cincinnati HUD is apparently backed up so we've yet to see the payments for the rented units from October. 

I use Buildium for tracking rent, fees, leases, and collecting online payments, but I don't use their reports for much, as I end up copying my online banking each year into spreadsheets.I've been using Rental Hero for the last hour and already impressed with it.

Later she was unable to refinance, and the ex-husband kept making payments for her so the property wouldn't go into foreclosure.I would highly suggest to your friend to contact Noel Cookman DURING the mediation process, not after.

I assume you currently have a residential mortgage that does not have a pre-payment penalty.

If you're using financing, evaluate how a rate hike could affect your payments.