The mortgage payment is $1,000 on each house, so you earn $500 per house or $2,000 monthly.

Is it foolish to consider using the HELOC for the down payment?

I'm looking to invest between $50k and $75k as the down payment. 

Hello Kyle,When screening applications for the properties that I manage, I always look for:- Income of at least 3 times the monthly rent (verified through the employer)- Credit score of 580+- Rental verification with past landlords (no outstanding balances, no late payments, and the property left in acceptable condition)- No history of collections, evictions, or criminal offenses- No overdue debt (except medical debt)I have found this screening standard very helpful when finding tenants who pay on time and treat the property well!

See what down payment and reserves you need and make sure you have that in place or if not, you know what your goals are for 2025.

Also, verify rent payments for last 2 years.

We've seen 3% for 100+ unit apartment complexes, but they also have onsite staff not included in the 3% management fee.Two other pricing options to properly understand:1) Fee charged based upon tenant payments or just occupancy.

Here’s the situation:Purchase Price: $540,000Down Payment: 20%Mortgage Rate: 7.125% (30-year fixed)Monthly Expenses (Mortgage, HOA, Taxes, Insurance): $3,706Realistic Max Rent: $3,000As you can see, I’m currently short $706/month even with max rent.

Financing contingency is there if you can't get the loan at the amount you thought, interest rate is raised or your payment changed higher than you put in the loan could give you an out.

@Ben SyzekFor long term rentals in Colorado Springs you will need to find a deal at 50% ARV (This is very hard) or do a large down payment of 25-35%.