The amount you took in depreciation will most likely be taxed at 25%.Finally, you mentioned rolling money into another home- I'd look up "1031 Exchanges" on this forum, because if you plan on rolling money from deal to deal, it may help you defer the capital gains taxes in the future.

Your rent was already at 550. and those aren't major issues you mentioned.

My concern is by using the HELOC as mentioned then applying for add'l conventional loans as we grow our portfolio how will this impact our ability to continue to get funding from the banks?

Other note investors typically look for 10-12% return (depending on pay history, state etc).As bob mentioned another other option is to try and sell a portion of the note.

Hopefully you'd know that AC is not one of the conditions of habitability for a home in California and you'd tell your tenant that the repair person will be coming out the following day on Monday and save yourself from unnecessarily paying triple time.Lastly, since you mentioned clogged toilets, what if your tenant called you while you're on vacation and said his kid just flushed a toy down the toilet and now the toilet is clogged and he's demanding you call out a plumber immediately. 

During the tour of the house, the lady mentioned that the house was given to her by her grandfather.

Always happy and partner with other investors so free to PM me.Regarding the deal you mentioned, I would be really careful about the tenant and neighborhood quality.

Not much is known about it yet, we're in the uncharted territory, so proceed with caution.So, 1031 exchanges are tried and reliable - just reach out to the people I mentioned, if they don't jump in here.

As @Cassandra Sifford has mentioned, I would reference the two books from J.

The Acer I mentioned above works decent for video editing.