I have never had tenants decline to rent due to having to sign a lead paint disclosure,If you know there is lead paint, observe safety precautions when doing rehab work - the paint will not hunt you down and hurt you, you have to eat it or grind it up into dust and breathe it.

Using a HELOC for buy and hold investments, especially when you don't have breathing room to weather a storm, is not the best next step.

You  just need to take a breath.  

Hopefully, Will, you get a better property management company in Indianapolis and at a minimum are able to get a time period of consistency with your investing and are able to catch your breath.  

You live and breath real-estate. 

I do both, and I would say that you might be wasting your breath while you friend is getting those kind of returns.

I would just never hold my breath on counting on any future appreciation from them...

I take a deep breath and ask the question, "How much?".  

If the thought of the debt really bothers you, make sure that you get the properties at a 20% discount, this will give you some breathing room in case there is a slight downturn in rent or sale prices in your area.

Take a deep breath!