Is the result any worse than if I just refi and pull as much cash out as possible on a property with a conventional loan?

As a result, I want to lay out a scenario I hope to create (let's assume I can create the scenario below) and I am asking feedback on all of the things that could go wrong that I should anticipate/prepare for: Scenario:5 fourplex properties = 20 units (average $900/month rent) - Looking for cash flow not necessarily appreciation for these properties$1.5MM in investment property debt (Average purchase price $300K; Market Value $400K)$500,000 equity across properties (Average $100K)Loans: Conventional fixed rate or seller financing fixed rateRental Income: $18,000Mortgage for all properties monthly: $10,000Cash Reserves on hand: $200,000 (separate from the equity in the properties)Reason for Scenario: My purpose in stepping away from a full-time job would be to start ramping up flips to pay down the mortgages over time.

Vertically integrated  they have call centers they have closers that run out to the property the second they get a lead they have office staff to handle the transactions..  3. owner is sharp knows the business inside out.. and frankly would do very well at just about any business they wanted to work in.those that do this on their own with zero help.. those come and go with the wind.. failure rate I suspect is far more than 90%Along with Markets matter.. do you live and work in a market with excess inventory that can be had.. or are U in a very tight market.. tight markets are tough..

I have been doing conventional with 25% down to make cash flow better.

Conventional with 10% down through local credit union.

As an owner occupant, you can bring as little as 5% down on a conventional loan and still cash flow really well when you move out.

Anyone have experience as a business owner who regulary sells inventory product to the public in how to deal with handing so much of your hard-earned money to Uncle Sam?

Usually you have the home style loans for a conventional lender, they take time to close though rates might be 5.5Then you have portfolio lenders usually local bank who can fund repairs and purchase.

Keep in mind though that if you're using a conventional residential mortgage, like you would when buying your own home, you aren't going to be able to buy your investment property in an LLC.

I am not a wholesaler but I do deal with them as an investor and what I can say about the advantage to a seller is the speed of close because a good wholesaler will have an inventory of investors that can make decisions quickly and close deals fast (e.g. cash close in 10 days or less in as is condition), when a seller is in distress and needs to get out of the property for whatever reason.