In Cost-To-Sell, most often a person will find it cheaper to FSBO BUT, that is not always the case.

Cashout refi seems to be a cheaper way to capture the post-appreciation equity before the next recession takes it away, compared to:1.

The more you can GC and oversee the subs directly, the cheaper it will be.  

If labor is cheaper inyour market,it could be less.Its also good to know what discount margin buyers are buying your market. 

I'm in Denver and while its cheaper than Los Angeles, it's also tough to cash flow without being creative.

If you want financial freedom (leaving your W2), what you really want is time freedom and since you are single now, that is a lot cheaper than you might think.

One theory is that the investors see population increasing in these areas and are willing to deal with the ridiculous local laws This actually isn’t even necessary true, the placest with the biggest per capita housing production or “investment” is in the sunbelt, the expensive cities produce a shockingly low amount of housing, obviously zoning laws play a huge role in that as well, but even when you looking up institutional investment in existing properties it’s mostly in the sunbelt, most people who own big buildings in hcol areas just bought them decades ago when they were much cheaper, even D.C. has has like a 4-5 fold increase in value in some areas in the last 15 or so years.

For many properties locally, it's cheaper to rent than to purchase.

At least for us that is a bit of a cheaper loan. and when you say  "Once this renovation is done we would sell our current house and look for the next project.".

@Archie BarrettJust wanted to say that there are MANY reasons to consider a DSCR loan vs a conventional loan, not ONLY if you do not qualify for a conventional loan due to DTI.Possible DSCR Benefits:Can do cash out refi prior to 1 year seasoning of the mortgageCan do cash out refi with no seasoning of ownership (with some lenders)Can do a loan with much less paperwork (this comes more into play every time you add a property)Can close on a DSCR loan directly in your LLCCan have your DSCR loan not report on credit (depending on the lender)DSCR loans can be cheaper than conventional loans for many credit scores and down payments.