Sounds like a good choice then to do the HELOC, especially if you are going to make it a rental in the future and a HELOC will be harder to come by once it's an investment property.

They sound very flexible. 

Sounds like you are on the right track doing research on different markets from the Midwest to Texas. 

I also hear from a lot of landlords that they aren't interested because it doesn't sound like a "Win" for them.Here is what I've found works - - - - - - - (1) Picking your target correctly Theoretically, you could rent any residential space and Arbitrage it, but realistically you need to find a place where you, a total newbie, can create enough value to begin a partnership.  

It is like selecting a car, they all basically do the same thing, some have more bells and whistles than others, but will you use all those bells and whistles or are you just looking to get from point A to point B.

A local realtor would know more than those of us on here.If you are wanting to increase ARV then it sounds like that’s not going to happen.If you just want a nicer home to potentially get a better tenant and keep them longer, then the 1/2 bath would probably help.

Hey @David Segatti Sounds like your typical guru up sell latter.  

Hi Morgan -It sounds like a DSCR portfolio loan might be a good fit for this scenario, given the rental income and the potential for self-management.

Sounds like someone with a W2 in engineering with a 401k a paid off primary and 1-2 rental houses nearby.

Quote from @Gaya Ben Simon: transforming a room into master bedroom , utilize basement space to add sqft , fixtures , open space concept ( tare down drywalls to make open space - kitchen - living room - dining room That sounds like a fantastic transformation!