I used to accept cash back in they day from the hood.

Access to Cash Value: A properly structured permanent life insurance policy (like an IUL or whole life) can build cash value that you can borrow against for property acquisitions, renovations, or even as a safety net during market downturns. 2.

I am looking to do a few cash purchases/rehabs in the area and I wanted to get your feedback.

I am considering buying the property in cash then hiring Servpro to fix the cigarette damage.

The biggest hurdle you'll have to overcome is accepting breakeven or negative cash flow at the start. 

However, if you plan on living in your existing house and when you convert the basement you can rent out for an additional $1,500 then your cash on cash return of your $50,0000 would be 36% (18,000/50,000), which is a great ROI.

Are you cash flowing the property?

Leveraging your equity through a HELOC or cash-out refinance can be a smart move, but it depends on your risk tolerance and goals.

You're cash-flowning a little. 

as mentioned the most common way is you do a cash out refinance to buy an ex out of a property.