I feel it would be helpful for folks for you to explain how REPS ties into all of this, and while those cost segregations sure are great, those losses created in the example above can only offset passive income. 

That said, if the replacement borrower is stronger, the lender might be open to an assumption. it is as you say, a case by case thing.Investors in residential space are not known to assume loans.

If it's true that 60% of bridge loans aren't paying their mortgage, that ties up huge $$ for banks with little return (except that which they would get by owning the asset themselves).

There is about $60,000 of equity (not a ton) but I have an opportunity and other funds are tied up.

I have a lot of money tied up in the house that I can’t use for future investments.

Things like that tied with a good property manager and a dose of good due diligence make for good investments

Rental properties and flipping houses come with a higher level of risk as they are directly tied to the real estate market and require a significant amount of investment.

Rentals are longer so your money gets tied up even longer. 

You can BRRRR in any market condition...you just have to be sure you're buying right right now, and you will most likely leave more cash tied up in the deal than we used to see...but still beats the heck out of putting 20% down and then paying for the whole rehab out of pocket! 

Trying to do the groundwork now while my hands are tied so that when the time comes where I actually can purchase a HH, I am not starting from day 1.