I took one on my primary residence, paid no origination fees, and make no payments on it unless I use it, and only pay $70/yr maintenance fee, so if I never touch it over the life of the HELOC (10 years) I'm only out a total $700 in 10 years, which I think is reasonable for the access to the cash.

Agency debt is also not going to be possible under $1M (as pointed out by @Mark Allen).Best bet: Either find additional capital partners, tap into bridge loans for short-term financing (while you sort out your liquidity position) or pass on this deal. 

I factored in realtor fees at 8% so the 30k would be the total gain. 

The cash #s are not as attractive in DFW but one must look at total returns which are composed of cash + capital appreciation.

If the total cost of your project is $400k, then the down payment on a construction loan should be 25% = $100k.

total newbie here.

Listing Price:$ 99,990Down Payment: 20% ($19,980) Closing cost: $5,100Loan balance: $79,920 @ 5% for 30 year termEXPENSES (Monthly):Principal & Interest: $ 429Vacancy $40Water/Sewage: $0Taxes $212Insurance $76.50Utilities: $0Management $144Maintenance $24Trash $0CAPEX $172.80TOTAL : $1,098INCOME (Monthly):Rent 1 bed 1 bath $800 (occupied on 1 year Lease)Rent 1 bed 1 bath $800 (occupied section 8 for past 10 years)TOTAL: $1,600I plan to offer about $87K to sweeten up my cash flow, considering they have already dropped the price before and seller is motivated due to acquiring this property from a deceased family member.

I am "out of pocket" $5,000 total.

So, typically on a $200,000 property, I spend about $25,000 to control it, I get $25,000 back out immediately from the Tenant Buyer, I have a spread of $6,000 to $8,400 for each year, so a note that pays off in one year totals $31,000 plus or minus and a ten year total is $109,000 plus or minus.

So my total is around $4400 compared to your $9K and my property costs twice as much.Some differences on mine:- No inspection fee which is $650 of your cost (I waived inspection to make my offer more appealing)- No origination fee and yours is $437 (my rate is no points, 5.25% for investment, 30YR)- No recording fees or transfer taxes, which is over $3000 for you- My underwriting fee is $450 and yours is $711- My document prep fee is $120 and looks like your processing fee is $534- Title insurance for me is $444 and yours is over $900- I don't pay any realtor fees as the buyer, you are paying $300It looks like you are paying the "I am new so you can screw me tax".