I'm not sure about the SD market, but I'm in Sacramento, and focused more on creative and seller finance deals that cash flow.

Hey Zach, If you are looking into DSCR loans to finance these properties, most lenders will require the following: 1.

You also get access to conventional financing. 

Rent out our current house (likely $5k/month) and use a home equity loan on the primary residence or similar financing to purchase a home in Seattle.4.

Sri,Are you a General Contractor/Builder or are you simply looking for financing to build a 2-4 unit?

9) adding multiple ADUs or adding an ADU to a quad looses F/F conventional financing.

The bank will make you leave 25% equity in the property - but you also still want the property to at least cash flow some - so be careful how much equity you pull out / new debt you take on.I would do a cost benefit analysis of what your actual gain is in cash-flow on buying a new property with a (currently) higher interest rate (if financing), versus just holding on to the current appreciated property and enjoying that cash flow.All the best!

Over-budgeting is critical to ensure that renovations don’t eat into your profits.Market Fluctuations: If property values in your area do not appreciate as expected, or if you face a market downturn, the amount you can refinance for may be lower than anticipated.Financing Challenges: Securing financing for the initial purchase and rehab, as well as refinancing after the property is rehabbed, may be challenging, particularly if the property is located in an area with fluctuating values or if the rehab work doesn’t immediately improve the property’s appraised value.Tenant Risk: Rent collection and tenant management can be unpredictable.

I can help you with financing options and help you analyze deals.

Luka  I have one property left in Cleveland I would do short term owner finance on so you can do some BRRR its got a long term tenant in it..