(Again, ask the bank.)These days I lean toward flips (which is unusual for me) but if the numbers show it cash flows all in with a 7% loan, then sure.

Im considering taking $600K in equity from my current home through a cash-out refinance.

Your question of "does the product exist" is a yes, but the better question might be "will the property cash flow at a 1.0X or better at 15% might be the more appropriate question. 

Purchase price: $31,000 Cash invested: $31,000 Very first investment - paid all cash for this investment.

There are more buyers for SF homes, but Multifamily properties typically cash flow better as you mentioned. 

There will be multiple markets you can achieve a 7.5% cap rate especially if you're buying with cash.

However, high property prices and steep NJ taxes mean you must carefully analyze cash flow.

He claims others want to make an offer, but unless it's a full cash buyer (which is rare in our small town), I doubt they’d be able to close faster than us.I’m getting the sense that he may not actually want to sell, and this whole process is just a way for him to tell his wife that no one could buy it.

Purchase price 125kClosing costs 7k with hard money lenderCleaning $300Closing costs 5k with long term loanrent $1345My PITI 1095Monthly Cash Flow $250Second position lender to cash me out of my 18k left into the deal will get $180 of the cash flow.Zero left into the deal, $70 a month in cash flowSell for $165,000 in 1-3 yearsEstimated profit over a 3 year period of time $30,000 - $35,000Total amount of work 4 hours including writing this post.  

Must be cash-flow positive, so I would need to bring in one hell of a downpayment unless interest rates decrease.2.