In the meantime, the funds have been reducing or suspending distributions to pay for value-add, cover increased costs, and to prepare for any required refinancing.So it will be a balancing act of dealing with the increased costs, managing refinancing, continuing to add value while waiting for valuations to rise significantly (partly from value-add, partly from lowered interest rates) before exiting.Disclaimer -- not advice, just some perspective on what's happening.  

I see landlords lose thousands, even tens of thousands, making rookie mistakes that they could have avoided with a little education up front.Once the first property is under contract, start again for the second.

We would have to come oop about 400-450 for 2nd HH.Also planing to use other rest of heloc for a dscr or brrr so that would possibly help as well.Would you wait until rates drop to do another HH and just buy the brrr/dscr now?

I'd wait this one out until rates lower and you can refi and learn from it to buy better the next time around. 

Death by thousand cuts….Could you shed some more light on your experience with REI Nation?

I also have a friend that bought brand new construction, but had to shell out tens of thousands in repairs because the home wasn't built properly, the inspection didn't catch the issues, the builder didn't have a warranty on the property, and insurance didn't cover all the problems.

As I studied earlier, the first thing you should do is marketing, then get a call and do a property analysis to understand if it's profitable for you, then meet with the seller and sign all the necessary papers, then if there is a debt in the bank we do a reinstatement quote, then do a title search to check if there are any hidden debts, if everything is fine we look for an investor or flipper and sign an assignment of contract with him and wait for closing to get our money.

Costing them thousands and making them lose out on homes.

If the property is in a location that would justify these standards, then wait. 

If after interest rates spiked a buyer waited for them to drop back to 7%, they would have waited 21 years til 1993 for them to get that low again.Hope he isn't holding his breath.