If you were able to pull out $500,000 in existing equity out of a paid off rental and disperse those funds to acquire 2, 4-unit MFR properties and had the income to support any future CapEx and the interest payments on your HELOC ( including the extra income to paydown the loan ) would there be any " gaps " or problems I'm missing in this situation where it would be a bad enough idea to not go through with acquiring more properties through a HELOC on 1 of 5 properties you own?

Quote from @Travis Champ: Hi Everyone,Thank you in advance for any feedback and support you can provide me with.

Is there any evidence or support I can include to make my letter of intent more credible?

-Do the area demographics support occupancy and higher rents (population growth, low unemployment, low crime, increasing wages)?

He is an actor and I support him doing this.

I fold the letter, stuff it and place the precancelled stamp on it at a rate of 94 envelopes per hour.....takes forever.Add in screw ups (see my post about 3000 yellow letters down the drain) and you have yourself a time consuming, repetitive, completely boring endeavor.If you plan on sending a few hundred a month you can swing it on your own but if your time is worth anything you'll outsource.  

I think flipping is the way to go on this project since it’s my first deal which has always been the plan but very grateful for some guidance. 5 weeks of tear out, wall paper removal 🙃, new electrical, deck supports, HVAC install…we start putting it back together!

There's very little support and a lot they can't do. 

You need to demonstrate a substantial investment ($100K+}, a solid business plan indicating your ability to support yourself along with any family members, as well as the projection of hiring US persons within 5 years.  

This absorbs consumables and breakage for me.