I had an inspector tell a buyer if you have an issue with termites (which was in the house) then you can not buy in this area since it is a common problem, not major, in the area. 

Or maybe they poured concrete down the drainOr maybe released bedbugs and termites into the house Or maybe put dead fish behind the drywall and patched the holes A dirty tub and a few hundred pounds of metal And a few damaged pipe IMO that is not even close to a disturbing dream tenant let alone a nightmare tenant   Lol

If termites infest the house, great it's the new owner's problem.

So, mid term, it's about building a down payment and keeping the credit up.If you are buying as an investment, then there are investment options available.A duplex isn't a great option because living in one side will make it harder to cash flow.

If you are taking HELOC for short period of time its fine but if its long term its not worth to pay high interest rate. you can always go back to 30 years loan.  

You take major risks that there are issues like foundation damage, termite damage, electrical, etc. 

Im not sure about the bug inspection in know termite inspection can get you out of a deal.

Evidence of termites, completely blocked ductwork, broken windows, wood rot, landscape grade running toward the house (on slab) and many miscellaneous items.

Repairs $28,500 roughly $34k in ARV $85k Rent $875 Taxes $95 Insurance $75 Termite $50 Repairs $80 Cap.

Just this past weekend, we placed a bid on a fixer upper with termites, extensive water damage, dry rot,  you name it.