(Strategy)2.

It’s important to ensure that the borrowed funds are directly used for the acquisition or improvement of the rental property to qualify.Other Considerations:Equity Use: Ensure that the use of equity from Property A for Property B aligns with your long-term investment strategy and does not over-leverage your investments.Loan Terms: Consider the terms of any loan or line of credit carefully, including interest rates, repayment terms, and any potential impact on your cash flow.Conclusion:Leveraging equity from one investment property to purchase another can be a powerful way to expand your real estate portfolio.

However, innovative strategies like seller financing or allowing a mortgage assumption could potentially offset this loss.

•Repayment Strategy: Consider how the repayment terms align with your financial goals and cash flow needs.

I always outsource & disclose with documentation.I've been on dozens of jobs where making smells was attempted.

Your approach to purchasing and rehabbing a house with cash and then considering a cash-out refinance is a solid strategy, commonly referred to as the "BRRRR" method (Buy, Rehab, Rent, Refinance, Repeat).

An Designer/Architect has a dozen or so designs in their catalog. 

Best strategy is to look into rougher neighborhoods, get creative with financing or find off-markets. 

Remember, home buying is a marathon, not a sprint ;) With patience, guidance, and the right strategy, you'll land the home that's right for you. 

Of course, quality landlord insurance is a useful risk mitigation strategy.