Then rent the bigger home out using a property manager, allowing her to possibly cash flow and maintain that asset and let it continue to grow in value.Encourage her to consult with a CPA or tax attorney to explore the best strategy tailored to her situation.

You are not even scooping your initial investment so your cash on cash return is negative.

In order to do this, you need to have cash or cash equivalent for that one day that you close.

It’s a great way to grow faster.HELOC or Equity Tapping: If you have equity in another property, using a HELOC or cash-out refinance could help cover the down payment without affecting your DTI as much.Seller Financing or Creative Deals: Look for sellers willing to finance directly, which bypasses traditional mortgage qualification hurdles.Scaling quickly often involves combining strategies—play around with what works best for your goals.

Whatever you do, leverage smartly—DSCR loans can help you buy more without draining your cash, and depreciation will handle your tax burden for 2024.

The loan will be used to payoff the 49% partner and allow me to take some cash out.

Quote from @Angel Romero: You'll get plenty of advice on what to buy, where to buy, how to cash out equity, setting up an LLC, and other noise.

My income doesn’t show itself as being very high, but I have a relatively large amount of cash to put down.

If you want better cash flow, 35805, 35810, 35816, and 35811 are likely the choices. 

Those that own it can be harder to sell as the cash flow from the business will cover the debt service for the business, but not for the real estate.Example: I had a very high-end assisted living facility on the market.