My husband and I currently have 1 rental unit, a townhome which cashflows a bit over $500 a month in the Portland OR area, I have had this unit about 4 years now, so I got it for a great price at a good interest rate.I also have my own home, and both of these properties have a lot of equity in them, I have about $260K worth of equity altogether that I could get on an HELOC if I wanted to (this is the 80% LTV less current mortgages, actual equity is more). 

Roughly 75k in equity.

My siblings and I purchase the house with an LLC and just the equity to pay for the home and expenses. 

If so, ideally you would be able to pull out all of your funds, perhaps a profit, leave 20+ % equity, and still have the deal cash flow nicely.

From what I've learned when you cash-out your equity like this, you are going to pay an additional 1% over the normal rates.

Plus...escape velocity...Episode 113 – Jay Papasan - Very practical slow and steady adviceEpisode 221 - Tim Shiner - his concept of equity build up and "shearing the sheep" shows some of the flexibility of real estate vs a 401k Last but not least, I also recommend all the tax advice given by my fellow CPAs on the BP Podcast.

There are endless ways to set this up, but the most common that I see is a 1-3% acquisition fee, 1-3% asset management fee, 6-9% preferred return and 60-80% of the ownership equity to the limited partners. 

Episode 113 – Jay Papasan - Very practical slow and steady advice Episode 221 - Tim Shiner - his concept of equity build up and "shearing the sheep" shows some of the flexibility of real estate vs a 401k Last but not least, I strongly recommend all the tax advice given by my fellow CPAs.Amanda HanBrandon HallTax Reform Update – Brandon Hall and Amanda Han Linda Weygant GuidesUltimate Beginners Guide Forum StickiesBP Calculators or spreadsheets uploaded by membersMy Favorite Books I have to say all of the BP books…right?

Plan to live in one side and use the rent to build equity.

Would it come from savings or equity.