Our cost to do business vs the revenue a small loan generates would put us in the red.

As an individual with an FHA loanI appreciate any additional guidance you all have for me.Thanks! 

You’re right, though, that you’re unlikely to generate much cash flow, if at all, if you invest in your home state.One option would be to look out of state.

If a cash out refinance, many lenders will allow the cash out to satisfy the reserves requirement.DSCR lenders generally let you vest either individually or as an LLC.

We have been in contact with other individuals throughout the state and they are all saying the same thing – prices are down, time to fill units is up, and evictions are up.

If you want to generate revenue, you have to learn to be more effective.

Like most things in real estate, a lot depends on the circumstances of the individuals involved and not just the numbers and figures.I hope this helps explain my thoughts, and I apologize for the lack of clarity when I defined "arbitrage".

Since the interest rate is already high, adding to it won’t drastically change your overall costs and will free up the liquidity you need for the new investment without affecting the low-rate financing on your multifamily property.Using the hard money loan to close on the new property could work well, especially if the property generates the $6,000/month you expect.

Just another thought, they do have submeters that can monitor the individual spots and you could charge back the total cost to the tenant if they are assigned spots. 

Long-term rentals offer diversification, learning experience, and lower returns but may generate lower returns.