The home that I'm thinking of purchasing includes a 1 bedroom basement apartment.The house I'm looking at is older but almost move in ready.My plan (and where I'm looking for guidance) is whether my strategy for borrowing makes sense or sends up any red flags.To repair the house I own so that it's ready to be rented I would to tap the equity through a refinance or a home equity line of credit/loan.To purchase the other house I would want to take out an FHA loan.In order to repair the home I have I need to get approved for the loan, locate a general contractor and try to get things wrapped up in under a month.In order to purchase the new home I need to be approved for the FHA loan, contact a real estate agent and go through the regular process of purchase.Minus the actual numbers (which I'm working on) do I have the general process right?  

When I worked with the public, the first question I asked was "tell me about your situation" because if there wasn't a motivating factor in that answer I was off the phone in under a minute. 

Yet I'm over 1/3rd of the way done in under 15 hours.

The last time I did a yellow letter mailing I was inundated with ticked off homeowners lol.

I've learned my lesson with this the hard way being that I've threw away well over $1,000 in under a week.

@Jennifer Taft Bruce M.It's a combination of a hot market, but also inept agents as well.Meaning, in the hot markets, the agents/brokers are inundated with full market offers and they know it.

My general opinion on marketing is I hate being that person that just inundates you with my face on pieces of paper.

If your project is coming in under a cap rate spread of 200 bps (this is what my firm uses in NYC so I'd assume mass market should be much higher spread), then ditch the project.

However, I am in NJ :).Assuming even a 15% increase in expenses, you still come in under $2000 per month.If I were you, I'd be running this by the accountant immediately and submitting a cash offer.

It's in the forums, it's in blogs, it's on podcasts, and it's in the free e-books that are available in under the Learn menu at the top of the screen.