it something like this  OVer 50% of the hotels under 100 rooms or under 50 rooms are owned by Patels so family owned and operated I suspect many have no debt or very little.. others could be leveraged and in trouble.. 

So the question is, can you improve your cashflow substantially by paying off your personal debt, or can you give yourself more cashflow by buying an additional rental property?

If they, or a third party, are the successful bidder, your mortgage would be stripped from the property, leaving you with only the ability to pursue your "debtor" for repayment.

Not bad, for little to practically no work, all done at a computer.Oh and I'd also consider paying down debt or funding my retirement accounts.Be curious to hear some other answers.Best,Dave

well its cheap money right now if your getting 4 to 6% financing and factor in over a 20 or 30 year mortgage its what maybe 5 to 10 a month.. comes home to roost when you sell though.. either you could have too much debt or you have to pay cap gain on that 5k you took out above basis.

Regardless though, my fiancé and I have the chance if we are really tight with our money to either crush the debt or start a great real estate investment portfolio.

He would have to assume the debt or take it sub 2.

I'm curious, when you say that its losing $1000/month, is that just because of the debt or is it losing $1000/month on the NOI?

As long as it there are no requirements for closing of the heloc, aka paying off credit card debt or closing out some other loan, the HELOC funds can be used for anything.

Non-QM lenders are asset based while Conventional lenders are credit based.Non-QM lenders focused solely on the following criteria when green lighting your deal:1-The ability of the property to cash-flow in terms of covering its underlining debt; or its ability ti appraise with ARV that covers the debt if you are flipping.2-The credit of the borrower (660 or higher, preferably above 700)3- Your liquidity (do you have 3-6 months of liquid assets) after you close on the property.