A duplex in the $100-200k range with a target CoC return of 8-12% is definitely within reach, especially in some of the emerging neighborhoods.In terms of areas, you might want to explore neighborhoods like Bagley, East English Village, and parts of Grandmont-Rosedale.

I did jump to conclusions as my emotions got the best of me when I did not hear back from Lacey.I had the chance to speak with Lacey this morning and also Scott at RTR.Lacey had some family emergencies she was dealing with as a result of the recent hurricanes.

Inspectors always make things sound really bad, that's their stock in trade.

I would only hire out for major work I can't do myself or emergency repairs.I've dealt with older houses before and the house may be fine for occupants but there's still usually lots of things that can be fixed / improved so it seems a house that isn't perfect would give more opportunities for ongoing maintenance of this sort.To me it seems fairly straightforward to meet the time requirements but I think I need to have extensive documentation?

IRS pub 425 says, "Passive activities include trade or business activities in which you don't materially participate.

My idea is to offer my skills, such as social media management, painting, or assisting with various menial tasks, in exchange for the opportunity to learn the trade.

I might use the HELOC as an emergency fund knowing if I tap into it I now have to aggressively pay it down.Then main thing is you don't want to overleverage any property and if you use a second mortgage to buy a property, you are essentially 100% leveraged on that property.

Keep a close eye on local markets in emerging areas around Los Angeles, where property values are likely to appreciate making future investments easier as you build equity.Let me know if you’d like financing help or need more tips along the way.Best,Drago

-- You should get a HELOC on it for emergency purposes before converting to rental. -- Proceed CAUTIOUSLY as many will recommend using the HELOC for down payment on new primary home.

I have seen doors swing wide open and shadowy-figures emerging from the darkness.