Quote from @Makani Donaldson: From what I understand, different islands or cities have different rules, and they are getting stricter.

You can make the mortgage Have a balloon payment in 2 1/2 years so that you don't miss out on the IRS tax exemption rule of living in your primary home two of the last five years.

I would have to agree with this - appraisals are no exemption to the general inflation/rising costs of the past few year s- $750 is hardly outrageous and investing in non-warrantable condos and with HOA restrictions is always going to have a risk for hiccups

NC has many licensing restrictions so many lenders won't touch the state or require the partnering LO or broker to be licenced there. 

It all depends on location of course. 1 good thing I have going, there is no restrictions there.

3️⃣ Local Regulations: Before you invest in a short-term rental, it's essential to understand the local rules and licensing requirements.

If you do it right, it’s arguably the best market to invest.Purchase: $80k-$130kRent: $1100-$1500 (no rent control in MI)1% rule: .9%-1.4% rule dealsCoc ROI: 5-12%Total ROI: 20-40%Cash flow: $50-$250/door (after all expenses and budgeting for maint, capex, vacancy)Appreciation: 3-10%+ (has been double digit for a decade)Location: C+, B-These numbers are based on the “sweet spot” in Metro Detroit.

Our top return property is far better than our average return property.I do not get to make the rules (and there are many rules/regulations that I do not like), but the rules have not prevented me from making good profits in CA real estate. 

The goal of a HELOC is a quick line of credit to either refinance or sell and pay back the HELOC as soon as possible.PS - I would recommend taking a look into the Columbus Ohio market, there's tons of 1% rule deals still within the 120-180k price point with amazing appreciation potential.

California also has Proposition 19 rules to consider, which might impact property tax reassessments if the transfer is not between parent and child.