If he uses the HELOC responsibly, he'll be able to serially buy performing hard assets and eventually get to the point where the monthly cash flow will provide future down payments.6.

If these type of damages occur in the future, I would recommend holding the tenants deposit, or if there is a claim to be made through the insurance you sell them you could approach that avenue.

I believe we will see an uptick in audits in the near future.

Adding a response here in case anyone stumbles across this thread in the future.

I have a sister out in the valley that will be looking for small muti-family in the near future. 

I've used to it myself to analyze all of the 35 units I bought over the last few years and personally talked to 100's of other investors who've analyzed and closed on great deals using it.I'd love for you to actually try it and would be happy to receive and incorporate any feedback you have into future releases.

Building good relationships with tenants and professionals while planning for future scaling opportunities can also help you grow sustainably.Good luck!

You are a high w2 earner, The house is worth 110k today, you are buying from your grandma for 60k in exchange for free rent for life, upside ARV of 200k.The costs of owning the house will help provide tax relief on your high w2 earnings, you are buying a great chunk of equity that will pay off in the future, and you and your grandma are doing each other solids. 

Quote from @Yianni Hahalis: Hi all,I will soon be moving to Cleveland, OH and either renting or buying in the surrounding area with my future spouse.

Maybe in the future I'll just start any post with the headline "NEWBIE INVESTOR QUESTION" and I'll get sympathetic pats on the back instead of bewilderment at my zany ideas that are unbecoming of someone experienced 😂