usually though a 5 year call.go to my bank and hypothecate the note at bank rates  1 pint 6% for 50% of the of the note value lets say 250k note.pull 125k in cash in.. the payments to me still had a nice chunk of delta in them. since my rate was usually 8 to 10%  use the cash to buy another timber track.. enjoy the delta.. and when the buyer finally built he paid off my 250k note giving me another 125k in cash and paying my bank off.. we would buy the timber track and have 100% of our money back in 90 days..

Determine that delta and then determine how much it will cost you to add the value needed to achieve those rents. 

You state that there’s a $100 delta in rent and market and then talk about $400 end state but we don’t know where you’re starting.Get it as close to market as possible that you can stomach, your tenants can handle, and feel you can clearly communicate when confronted.

Here is the delta--the more uncooperative the tenant, the smellier the house, the dirtier -- all the BETTER for getting a below market deal.My investing stratagy over the last 30+ houses has been buy cash, do the necessities, and pull out my cash through refi. 

Empty the coins of your purse into you mind, and your mind will fill your purse with coinsI think its still there I went to a few motivational events there back in the day.Saw John McCain before he got in politics and talked about his POW days and he tapped out how they communicated on the lecturn.. and another I remember was the CEO of Delta after the crash at I think DFW  and how he coped with it. these were the days before the latest motivation guys like Robbins etc.. 

According to Brandon Turner, the "Deal Delta" is three things: Money, Hustle or Knowledge.

so make that on my 1 mil  so say 120k  a year  I get a LOC facility for 1 over prime  so say 7% to round up I make the delta on 4 million that's  another 200k  a year.. and I set my loan size at 500k so I only have to do 10 loans a year.. 

This covers the delta between the savings (cash value) and the death benefit.That is an example of a minimally-funded policy.

I’m curious about how you found a place with enough delta between ARV and total cash invested to make it attractive, as well as enough rental income above your refi cost.

And then value add.The profit is in the Delta of your value-added cap rate to the market.Great, this makes sense.