I've already renovated one of the bathrooms, and I’m planning to paint the interior, update the kitchen cabinets, possibly sand the wood floors, build a fence is a corner lot and increase the rent for the room since my tenant is currently renting the entire 3-bedroom, 2-bathroom house for $800 a month.

If it's in your name you can look into the potential for a HELOC or potentially refinance to pull out some of the equity you've created, but you'll need to do the math to see if you're payments will increase based on the new loan terms.

The goal is to cash flow so I will rehab the property and increase the rent.

If you can find properties where you can add value (adding units, increasing rents) then you can increase the value of the property, refi and get your money out. 

By carefully timing their sales and purchases, they not only deferred taxes but also increased their cash flow significantly.

Since you know who you want to serve, try to tailor your listing to make it easy for them to say, "yes".General advice: MTRs are attactive to a lot of people because of the increased cash flow, but it's the appreciation over time that really generates wealth in real estate.

However, if you have the time and prefer to source properties on your own, I would highly recommend the following strategies:Connect with probate attorneysVisit property auctions: These happen monthly and, surprisingly, aren’t saturated with investors.Cold callingTarget LLC owned properties: Over the years we have seen an influx of companies purchasing SF for rentals/long-term holds and they failed to account for property taxes and an increase in new construction coming to the market.

Speed of captial increase.

The shorter the prepayment term has an impact on increasing the rate.4.

I ran the numbers on the deal knowing that I would break even on cash flow in the first year with minimal rent increases but significant cash flow in year 6 when the 401k loan is paid off.