But they are PM's so I think at the end of the day you have to deal with a bit of trial and error.  

They buy a decked out F350 they don't need and can't afford, live from job to job and the risk/reward of going to trial made it too risky to pursue.Live and learn.Oh and I suspect the problem is worse in rapidly growing areas.

Or a variation along these lines.Your last scenario is right except for the quiet transfer of title. 

I listened to Scott Trench's "Set For Life" for free using a trial membership of audiable.I bought Brandon Turner's books on real estate investing. 

A variation of this, if it appeals to you, would be to move out completely if you can live elsewhere cheaper, and rent out the entire place.2) You can pull out some equity from your house through a refi or a HELOC.

For cleaners, trial and error.

For a Monte Carlo simulation, I might apply a +/- to that and see to what extent variations in that estimate have ~non-linear effects on the final answer.Agree that one of the biggest impacts is the current value; for two of my properties the mortgage company provides an equity estimate (which I have no idea how accurate it might be since websites like Zillow, etc typically don't handle multi-family properties very well), but here's a sampling of the estimate variations from different sources:$252K (Appraisal for refinance 21 months ago) vs. $269,939.00 (MortgageCo) vs. $294,900/$321,230.00 (Realtor; CMA vs.

I suggest you google look for free 30 day trial.  

I have already used up my "trial" look ups and am at the point that I would need to subscribe in order to continue using the service, so I am trying to justify if it is worth the cost.  

Product sheet on the site.  10,000 loan variations plus a net branch system where you can learn the lending side of things and earn on both sides of the fence, doing your own real estate deals and the ones you don't offering financing.