Be mindful of short-term capital gains tax, as profits from flips held for less than a year are taxed as ordinary income, and frequent flipping may result in self-employment taxes.While profits from flips do not qualify for 1031 exchanges (since flips are considered inventory, not investment properties), you can minimize your tax burden by deducting allowable expenses like renovation costs, loan interest, and holding expenses.If you're considering diversifying into rentals, explore opportunities to benefit from long-term tax advantages such as depreciation and lower long-term capital gains rates.

I haven't lived in it long enough to be exempt from capital gains, good point on that.

We’ve been in business for 15 years, with a capitalization of $300M.

In a situation where you were doing an arbitrage (renting it from the owner, then yourself re-renting it to someone else) your costs to renovate/fix it up while you're using it would be able to be capitalized and depreciated by you once your rental was in service (available for rent to others). 

I’ve done 1 rental property and sold it to gain capital and did 1 flip that didn’t go so well so not 100% experienced to say the least.

After year 1 we added more originators, more processors, an appraisal review analyst, a VP of capital markets. 

I'm looking at small multifamiles and won't have an issue with capital thankfully.I am in Arkansas and looking to stay local-ish initially.

2 are not cashflowing with the required expenses for vacancy at 10%, repairs at 10% and capital expenditures at 5%.

Does anyone have any contacts to their acquisitions team and or their current buy boxes Companies below Cerberus Capital Management, L.PAngelo Gordon & Co.GoldenTree Asset ManagementFarallon Capital ManagementOaktree Capital ManagementI own one of the largest wholesale real estate company in Florida and we are newly into Texas for single family homes.

To Sum it up, its a good idea if you can exceed the cost of capital (higher rate than your cost of debt) with what you earn on your heloc/debt you pull out and invest.The question is how much gains above is enough to substantiate the risk of your variable interest rate, well thats up to your personal investing criteria.