Both of us have zero debt, excellent credit, and about $120k in combined capital.What are we looking for: Distressed SFR to rehab, inject equity and appreciation while living in it.We can then sell as a 1031 exchange for another property.Or we can rent out while cash flowing & refinancing to pull equity and buy another property.Distressed multi family properties to rehab, inject equity and appreciation while living in it and rent out the other unit.Once we have rehabbed, we would move out, rent out the second unit and cash flow.

What US gov. did is very smart actually, they inject the market with infinite liquidity.

Also, with potential inflation increasing from money injected into circulation and mortgage rates currently at all time lows paying down principal is objectively one of the least efficient uses of your capital?

To do a construction deal like this, you'll be need at least a 30% equity injection, especially if it' a first time.

If our portfolio is large enough (mainly b & c class property), would it possible to bring in a Private Equity Firm to take partial ownership in the LLC while injecting capital and restructuring the firm?

I don't see much value that can be injected into the kitchens. 

As noted in prior posts, the key is that everything is done by and for the plan, with limited interaction from you and no injection of personal capital. 

.), cash recalls and shares dilution in case the property needs cash injections, etc.

Our current financial situation would enable us to start investing now with $50k in cash, and inject an additional $50k in cash each year from our full time jobs/incomes.

How much a month can you afford to inject out of pocket into the property to carry it while holding for appreciation.