Risk can be managed or even eliminated.

With debt service of $754, you are necessarily going to lose money on this deal long-term.Stay away.

I would eliminate the practically useless agent by going direct to the homeowner.

The units I do go after in which I keep s rentals are newer and in nicer areas but cost 2-5 times more than yours do so my acquisition costs and debt leverage amounts are much higher than yours.Fortunately, I have other sources and means of income besides rentals so I do not rely 100% on rental incoem to survive.Between commercial, flipping residnetial, land development, spec building, short pays, sub2's, etc, I have other income streams.Again, the course of action is up to each individual.

Usually, the seller is notified that you have an end buyer to assign the contract to.Often times, if your PSA involves debt financing, the seller will stipulate (if they know what they are doing) that they must approve your end buyer who you are assigning the contract to.

Now my residence is appraised at 239k and it is fully paid off, BUT my wife and I have a deep wish to keep it debt free, which eliminates the amazing problem solving tool of simply having a 100k or so HELOC.

I hate to sound like a jerk but I can't help but blame the homeowners mostly; I'm sorry but don't take on a debt if you cannot pay it, or do not understand the terms of it, this is so basic.

I see this as $1,000 a mth rent and deduct 50% for maintenance & vacancy which leaves 500 a mth minus your debt service = +$340 a month is a good deal

However....The rub is that I've got to finance the dp with an existing HELOC on my home...a risky endeavor that I've asked about once on this forum already...so I'd be paying debt service on the dp as well.I'd love thoughts on this.

While they will let you hold title in the companies name, you will still need to personally qualify as a principal in the transaction.Anyone who owns a 20% or greater controlling interest in that company will have to provide credit, income, and asset information in order for the loan to be considered.Depending on Debt Service Coverage, LTV, experience, etc... you may or may not have to Personally Guarantee the loan itself.