Some investors also use a business line of credit backed by their cash flow, which can help with future deals.If you’re planning to scale, maybe start stacking that cash for the next property or even park some in T-bills for short-term returns.

I have rented out this home short term before and have been successful but I don't have any experience with 12 month leases.  

Combined that can cost $50k+ which they may not want to pay nor their is the possibility they would not they pass the DD report.Nothing wrong with raising money in this fashion (FB or online ads), many do it and are great sponsors. 

@Scott Trench - have you considered investing in short term rentals, materially participating, and having the average stay be less than 7 days?

It’s a short-term option, typically 12 months, that can provide the flexibility and funding needed for a $150K renovation.Here's why it could be a great fit:-No prepayment penalties — so you can sell or refinance without penalties.

Shortly after they all became vacant, I had to do the renovation work myself because of the lack of cash flow, and it took years to dig myself out of that hole.

As a note investor I am licking my chops at the number of deals we are giong to see come our way because of scenarios like this, especially once values go down and these people who bought sub2 could just walk away once the equity is gone.    

Mistakes I see people make is they plan on living there a short time and over renovate the property where they will never get the money they put into it back. 

.🔹 How It Works:If your rental income falls short of covering your mortgage (PITI), you can use liquid assets to supplement your income.

.- It costs me me less to turn over my 1500 SF units that rent for $3k/m then it does the same size section 8 unit because the property is cared for better and experiences less  wear and tear while fixed costs like cleaning and painting are easier to absorb.