Consider all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.5.

Utilizing my relationship with a great local lender I started the process of getting a secured line of credit set up against the 3 unit so I could pull most of my money back out.

All channels can work.. it’s just that some work more often than others.I’ve got a friend who tried a similar stroy a few years back.. she moved out of her condo and rented it to a family member, using the steady cash flow to secure financing on a duplex that had a ton of upside potential.

Loan interest is deductible based on the use of the loan, not the asset securing the loan. 

What do you do to ensure that the tenant is responsible for security deposit disputes since that is the largest reason for owner lawsuitsHow familiar are you with the newly changed laws that can affect you the owner if they are not used correctly?

I am an investor in debt DIRECTLY secured by REAL ESTATE.  

And the truth is, if the investment property was completely passive and you had zero connection with it, such as an arbitrary stock in a mutual fund, then I would agree not to get emotionally attached to any one investment.  

IE securing them paying tax's insurance etc etc. 

However the event of default just gives the holder or beneficiary of the security interest the RIGHT to accelerate all payments and call the note due..

Consider all the things that could go wrong and see if the lease addresses them: unauthorized pets or tenants, early termination, security deposit, lease violations, late rent, eviction, lawn maintenance, parking, etc.5.