The only time I'd say it's an okay idea is if either: The area you're investing in is expecting so much appreciation that you will easily profit off that (watch out for mortgage interest though...the appreciation needs to be higher than what you pay in that and expenses to make it profitable)You have some specific reason for wanting to do it- family ties, future home, major long-term hold, etc.Maybe I'm forgetting another one, but those two are all I have for now...

I'm new to the real estate game and have heard a lof of good things about Propstream and Dealmachine.

@Stuart UdisAll great comments, seems like putting skin in the game will be a reassuring factor for any potential investors.

You may have to search a bit for the right contractor or engineer - sometimes I see one solution dominating in an area - "that is how we always do it"  Thanks for the input - yes, it sounds like the specific area this house is in is particularly bad for foundation issues.  

That is an upfront game plan with numbers that should be somewhat fail proof if done correctly.Lastly dont forget that 85% of people who take out a HELOC end up doing a refinance within 3 years to consolidate into one loan. 

Very nice suburb area outside of Dallas and I'm very much ready to get in the real estate game!

And then your REI income matches your W2 income the first time etcTo your question: equity is the name of the game.

I enjoy college football, video games, and lifting weights. 

Keep the risk in check so you will not be taken out of the game. 

This is my first personal mortgage so I'm trying to learn the game.