Lenders will require 5% down and you will need to meet the conforming loan limits (not high balance unfortunately).

Helocs are great for this because you don't have to make payments until you use the capital and if you don't have a balance you don't pay.

Find the balance where land is decent, but rents are high. 

I found this but I can't understand what the other costs are https://www.narpm.org/members/resources/rent-vs-sell-calculator/SFH current value: $441,000Bought for (2020 new construction): $362,000 (primary residence till Nov 2023)Mortgage balance: $218,000Interest rate: 2.375% for 15-year loan (12 years left)Annual Tax, insurance and HOA: $7,000Current rent: $2950Appreciation: Reached $441K in March 2022 and has stagnated since.

That being said I see clients achieving 2x monthly cashflow returns on investments even with 7% mortgages.

Remember, C/D located properties generally appraise once improved for significantly more than they will actually sell in an arms length transaction so you can go to many C/D neighborhoods, successfully complete the BRRRR method but deal with  all of the operational difficulties of the asset class and then fail to achieve a sale figure remotely close to the favorable appraisal  that allowed for the proceeds to be returned through the refinance. 

Mid-term rentals cater well to this demographic, providing a balance between long-term leases and short-term rentals.4.

That home has $45k balance.

Given that properties in your target area are around $250,000, a 20% down payment for two properties would indeed be achievable with your cash-out funds.Market ConsiderationsCentral Texas Market:The Central Texas market is strong, especially for single-family rentals (SFR).

Still not terrible.But the question is, can such an outcome be achieved?