Current HELOC rates are typically 8-10% depending on your credit and lender, though some banks offer promotional rates.

I’ve been thinking DSCR but don’t they typically have higher down payments and closing costs?

I am grateful that you shared this, because I do think a lot of these gurus, while generally having good intentions, are typically very naive and lack experience to truly teach anything.  

@Polat CaglayanI've never seen a formula but here is a general rule of thumb for multifamily:The class of an apartment refers to the quality of the building, which can be determined by a number of factors, including age, location, and condition: Class A: These are the highest quality apartments, typically built within the last 15 years.

These typically include services like renters insurance, HVAC filter delivery, pest control, and sometimes utility management.

I have warned countless people that the "new", "Cheapest", and "shaking up the insurance market" carriers typically come into the market under priced, have a wave of claims, then they either jack up premiums to survive or fire their staff to keep heads above water.

Sale Price$171,000 - $55,000 (Rehab) - $13,680 (8% fees) - $40,000 (profit) = $62,320 MAOFrom talking to other investors and doing research, typically a Novation allow more money to the seller, correct? 

I know these lines of credit are typically variable rate and interest only but when I am buying deals with 20-25% equity that are new construction and cashflow around $500/mo with this loan option, I feel like I have hedged against those risks fairly well.

I’ve already put down a $2,000 earnest deposit and paid for the inspection and appraisal.This event is unprecedented in the area, as the area is typically low in violence and considered very safe.

There are more buyers for SF homes, but Multifamily properties typically cash flow better as you mentioned.