@Joseph MuleroTo build a successful real estate portfolio, consider house hacking and the BRRRR method, which recycles capital and acquires more properties.

Most lenders/investors are wanting a margin of safety in investment loans given where the economy and RE cycle are at.

From there, I shifted my focus to scaling while recycling my capital.

I was able to scale up to 27 SFR by doing this and recycling equity im properties over the last 9 years to scale up.

The unfortunate thing is they also diverted your neighbor's drainage to your backyard, with nowhere to go.

In that case there is simply no progress being made, and no education the person is gaining that will ultimately allow them to work towards their investing goals.To your question about equity in a property to recycle sooner, I think the typical rehabbed TK property will likely not have significant equity to be able to cash out refi immediately to reinvest. 

There are many ways to use this based on your own financial situation but from the sounds of it, using this 140k HELOC on BRRRR's repeatedly can be a great way to grow your portfolio and can keep recycling the money. 

@Kai Sato-FranksAssuming long term plan is to own multiple rentals that generate income, and you have cash to buy your first deal I'd agree.You go for BRRRR then you can recycle your capital to multiple deals.

There has to be an efficient means of recycling this property, just as we do with plenty of other similar circumstances. 

Starting with BRRRR in Detroit sounds like a solid strategy, especially with your goal to recycle capital.