All very helpful! 

With $5500 a month on a $350K property, plus rehab, your client is likely pulling in solid cash flow.Great work—definitely something to consider for more investors on Chicago's north side!

Thank you for the help. 

This strategy can help reduce utility expenses.Mid-term and short-term rentals can have utility costs up to 10% of gross income, including electricity, water, gas, cable, lawn care, and pest control.

OR you'd have to do 2 separate transactions and incur 2 sets of closing costs/ transactional costs. i dont think its a bad play, a lot of people leverage one to help them expand to the next. another challenge you will have, though, is pulling something small like $50k out. most lenders rn have a $100k min. you might be able to find less but then fees/ points will be a little excessive. 

I bought my first investment property that is currently cash flowing well I have talked to my bank and they said I can pull $100,000 of equity out on the house.

@Bradley Buxton This is very helpful.

Can anyone recommend a rent collection agency?  Have a tenant who broke the lease and I agreed to let her out for a fee, which she finally agreed to but has made no effort to pay.

Any help appreciated, thanks!

I can help you with a 2-4 Unit 10% down payment, are you doing any rehab to the property?