I just used cash to build my first 3 specs no loans at all.. once done and sold then I went to lima got one loan from them.. then went to local bank ( much much cheaper) and got a 3 mil  guidance line and went on to build 30 or so in charleston.. you have to prove the model.. its not like buying a rental where lenders look strongly at your fico  fico is required but not the main consideration like and investor loan and all you need is 20% down or 30% down and a few bucks in reserve that wont fly with spec loans..

You know the model and have systems so tapping into your equity is a smart move.

This is the model # at home depot.

We are going to run it as another bed a breakfast - the same model as the other beach property.  

I built a model, and then discovered the deal check app.. and then checked my model. 

Finally, as an aspiring/budding lender, I don't have as much access to mentors, but then again it's easier than rehabbing/flipping and probably easier than buying and holding and managing multifamily. 

But I agree with you these guys pass up a ton of listing opportunities and given the amount of money they spend thats just wasting marketing dollars in my mind.. the laws are changing on wholesale assignment business model.. like most things RE its always changing and evolving. 

The real estate investing industry uses "Classes" to rank property performance risk, but there's NO agreed upon industry model:(Here's what we use for our Metro Detroit market:Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

Seems like there are way too many being build with big dreams of subscription models. 

If it’s at or near 70% we dig into the full cost model that accounts for financing costs (hard money and GAP), acquisition costs, holding costs and selling costs.