Also, should I borrow against my 401(k) to invest?

@Alan E.I am a fan of retirement accounts, especially the Roth IRA or Roth 401(K). 

@Jim K.

Using this strategy I have built my holdings to over 200 k in equity.   

Using this strategy I have built my holdings to over 200 k in equity.

Originally posted by @Roshan K.

But maybe with a 203(k) (if you use one) it wouldn't be an issue.

For example,  if you get a 250 k house and can add 100k of equity in it, then sell after 2 years, theoretically you would make more than if you can save about 30k a year for investment property.  

@Alexa K.

The loan itself is about 1/2% higher than a normal fha loan.Over $35 k requires a consultant which adds another wheel to the cog, but probably good for most buyers.Both loans add a10% contingency factor on to the rehab budget.