To get started, define your investment strategy, run cash flow and ROI calculations, network with local investors, and explore financing options like DSCR loans or HELOCs.Good luck!

Cash flow is definitely the biggest challenge; both in terms of finding properties to buy that cash flow with a loan on them and just company wide given interest rates and labor/material is up and, at least where I'm at in Jackson County, MO, taxes are way up too. 

But if you can secure one with solid terms, it could be a great way to access capital while keeping the rental.If you believe in 28277’s continued appreciation (and I do), I’d lean towards holding the rental, increasing rents through strategic upgrades, and leveraging equity via a HELOC or cash-out refinance if the terms make sense.

Personally, I invest in properties in C-Class neighborhoods in my market (East Linden and Southern Hilltop), and they’ve been cash-flowing well so far.

Also, the home owner most likely has a mortgage and receiving a large amount of cash and then not spending it for 3 months can be more challenging than you’d think.

I also have an investor putting some cash down who would prefer an inspection be done. 

I went from growing up in a hut in Vietnam and spending my early years in Section 8 housing in the U.S. to now owning four cash-flowing properties (8 units) across three states.

You didn't write how much 'sweat equity' you put into this place, but it was likely well worth it given the $400K cash out.  

You can do a cash out refinance and pull equity out that way.

Purchase price: $640,000 Cash invested: $220,000 Purchase price $640,000Got it at this price because there is a non-paying tenant in unit 2 (rent value $3,500), we're in court Rehab $60,000All in cash (rehab plus down payment) $217,500Rehab included ground level basement and 2 parking spot drivewayMonthly cash flow $1,500 ARV $950,000Equity $470,000Refi cash out (August 2024) $150,000 (used to buy new rental)New monthly cash flow breaking even (non-paying tenant still in unit 2)New equity about $200,000