You use their money to buy deal one, you renovate, rent, and refi with bank debt, to pay off their loan, but the agreement is they keep that loan available to you until you find the next deal.  

A debt fund solves the passive investing issue, but brings on other risks as well. 

These debt instruments havestrategies best suited to them; MLI Select, for example, is most favorable fornew-build (we have several MLI Select loans).

So if you are looking to get a conventional mortgage you will still need to disclose the debt. 

We’ll only consider additional debt when it maximizes liquidity or improves risk-adjusted returns.

if something is just sitting on the MLS looking too good to be true... then it's too good to be true.these properties are going to have higher costs overall, be in more challenging neighborhoods, have very gnarly deferred maintenance and capex, potentially have liens, be high turnover, and require expert, highly knowledgeable, localized support to be successful. see for example this thread.https://www.biggerpockets.com/forums/48/topics/1137397-balti...and even at those price points, i think cash flow is fairly low to non-existent if rehabbed to a high grade, especially with DSCR debt. 

I only have credit card debt with a minimum monthly payment of under $300. 

Also, I am in the process of creating a business logo so I can make some all important business cards and swag (who doesn't want that!)

Meanwhile, your expenses, like debt service, taxes, insurance, and maintenance, continue.Another concern with investing in disaster-prone areas is the high cost of insurance.

Pass out business cards to strangers and call friends.