so most people will have to be as leveraged as possible to scale (at the beginning). as in, keep your LTV high and focus on buying 'as much' ($$) RE as possible. this is if you're doing a pretty run of the mill REI strategy like buy and hold. i came across an interesting guideline once: if you could sell today and net 7x+ your annual true net cashflow, you should cash-out/refi, or sell/1031. think of it this way: if your portfolio in a year is worth 1m market value, and you owe 600k, and have a lender that will do a portfolio loan at 80% ltv, you could cashout refi and get 200k to play with (minus closing costs). when you compare the now-lower cashflow from the existing portfolio (higher LTV & maybe different rate), to what you can do with 200k cash, THAT'S where it gets fun. maybe you lose 1k/mo in cashflow on the original portfolio (literally just made up a number, idk), but you can gain 2500/mo in cashflow with that 200k.. then doing the cashout/refi earned you a net increase in your monthly profit of 1500/mo, plus you're getting debt paydown and appreciation on "more" real estate, probably getting bigger tax benefits, etc.

Property is worth about 600k market value.

There is some fees to start like applying for your license , pay taxes, etc but it still seems worth it.  

Not everyone remembers to check this and understand there may be thousands owed.6.

The main thing to remember is that not every deal will be a "perfect" BRRRRR.

The work on my end is simply learning and remembering his advice.  

The house is worth about $230,000.

I'm glad he remembered to mention depreciation recapture. 

If it costs you $100k on a new property as a down payment to save $400/months is that worth it?

If you have the time it's worth looking into doing the typical deals discussed on BP forums like fix and flip, BRRRR, airbnb, etc.