It helps the guy or gal that is just starting out while still providing proper disclosure. 

You still need to force appreciation/value, and the usual 20-25% to utilize this properly it seems. 

You can then pull from that account going forward with the proper authorization. 

So you’ll have to walk that balancing act.I don’t think 6 units is harder or easier to manage than 20 units.

How do you properly account for the hours spent doing real estate activities?

This was before I learned how to properly analyze a deal.

Having then paid them off, I'm left with the Bank's mortgage and hopefully some cash left over to Repeat.Is this the proper use of this method, in its basic form?

Then your property becomes neglected and a pain and you end up selling to someone who knows how to run a tighter ship and knows how to get your asset to perform properly.

If you had your own attorney handle it, then they should have insured that your loan is properly recorded, so not a lawyer, no legal advice, but I'd think that worst case, you'd need to foreclose and take the house back if he doesn't perform.   

I’m interested in their perspective on what is needed to properly repair the situation.