It is always nice to build in some instant equity with the 70% ARV rule even if you are a buy and hold type of guy.

because i feel that being able to instantly have tenants, who might i add all have jobs in my home town, is a great opportunity.any advice will be greatly welcomed!

If you buy broken down properties and fix them up, you can earn an instant 20-30% return in terms of equity.For example, if you buy a house for 50k, spent 20k fixing it up, and now it's worth 90k...you made 20k.

Is there room for instant equity in the sale?

your ROI is too low (you could put this in an S&P 500 Roth IRA index fund & get 10% @ retirement & not deal with the stress/nonsense in this business) & you don't really gain any instant equity.If you're banking on future appreciation then that's a different story but i think you can do better.

About $4000.Based off of my analysis, I see it cashflowing around $260/mo, with an instant $15,000-$20,000 equity gain at the purchase price.

So, you may or may not be looking for instant cash flow from the tenants and as far as appreciation, you're not looking for a set, certain amount of increase each year, but you're more or less making a bet that the area will come around and you'll cash in big time several or more years down the road?

Hi everyone, I've been listening (podcasts & YT videos) to different real estate investors since I lived abroad and when I moved here to California I instantly got excited about chasing the American dream through real estate investing.

Using a portion of the HELOC to convert my house into a duplex and rent both units out and get instant cash flow.

Helping out the seller and acquiring property with almost no money that turns into instant cashflow How did you find this deal and how did you negotiate it?