Whether these factors outweigh the challenges is a personal decision. 

You could also try to find a seller who wants to do seller financing and take a risk on you, which would be challenging to find.

@Hank Bank BRRRR is probably want you want to do.Buy, Renovate, Rent, Refi, Repeat.Before you go all in and either find out you don't like being a landlord or you make costly mistakes, start with just the next one.You'll have some challenges with tapping the equity in the townhouse:1) What loan amount can you qualify with your credit & income?

This is a challenging time to place tenants.  6 weeks is my second longest ever with the longest being a unit that was ready mid December and took over 8 weeks. 4 months is long.  

Hi @Stacie Telles,Finding lenders that offer cash-out refinancing with minimal or no seasoning periods can be challenging, as many conventional lenders require a six-month to one-year seasoning period.

Also, after a year, the mortgage hasn't been paid down by much, especially if it's a 30 year mortgage.The only challenge you may run into is if you purchased it using a low or no money down mortgage option like FHA or VA lending.

We have around $150,000 available for investment.We understand that finding deals in this price range in Phoenix itself might be challenging, so we’d love to get your input on areas near Phoenix where our budget could work.

Real deals with real economics rarely face allocation challenges.

Our portfolio currently cash flows, but cash flow isn’t our top priority right now since we plan to use this portfolio to supplement our retirement in 12 years when I leave the Army.My biggest challenge is committing to an out-of-state market.

Your challenges unfortunately are not that uncommon.