Quote from @Jokari Trueheart: HI, almost 11 months ago I purchased 3 duplexes and I borrowed the funds from my personal residence which I took out a equity agreement for the down payment on the investment property, great idea at the time because I have 10 years to pay it off and theres no payment requirement, but , I learned more about the consequence that it takes a large chunk of my equity the longer I take to pay it back, so my goal was to refi cash out the investment property to pay it back but I don't think theres enough equity yet to pull the full $106k needed, I only borrowed $88k but with the equity percentage for one year i'm paying about $18k in equity on top of the amount I borrowed if I pay it off in year one, so I need this paid off ASAP before it increases more.

I.e. say your plumber has a fixed $150 service call fee.  

One challenge to manage is being able to clarify for lenders on those rentals (if you have them) which amount of the premium should be paid for each rental so that they do not include the entire premium into their escrow analysis, inflating your monthly payment on that rental. 

A couple fix and flips that were financed with HELOC. 

Fix-and-flips and new builds are always exciting!

Hi Chris, if I understand the transaction it sounds like you will receive a 1099-S for the full amount.

@Roshan K.Ya I know it looks sketchy and defeats the purpose of the LLC but I figure if I kept the funds seperate and can prove that they were used for business purposes only it wouldn't be so bad as a temporary fix.

The PM will also fix things when needed, using local handymen or contractors, and collect the rent for you.

Investment Info:Single-family residence fix & flip investment in Chicago Heights.

I would recommend anyone lending in this environment to fix and flippers or any type of investment to be careful and get a personal guaranty and make sure person has a long track record.