Use the HELOC on cash-generating opportunities like flips, then use the cash generated to buy long-term buy and hold investments. 

If you don't have appreciation capex will wipe out your cash flow. 

Positive Cash FlowImmediate cash flow isn’t always possible in growth markets.

I also keep a fair amount if cash (10%).

Purchase price: $640,000 Cash invested: $220,000 Purchase price $640,000Got it at this price because there is a non-paying tenant in unit 2 (rent value $3,500), we're in court Rehab $60,000All in cash (rehab plus down payment) $217,500Rehab included ground level basement and 2 parking spot drivewayMonthly cash flow $1,500 ARV $950,000Equity $470,000Refi cash out (August 2024) $150,000 (used to buy new rental)New monthly cash flow breaking even (non-paying tenant still in unit 2)New equity about $200,000

It has seen steady appreciation, and multifamily properties can provide strong cash flow.

I paid an estimate of about 25k for each in cash.

What’s your primary goal for the cash-out refinance?

Purchase price: $2,500 Cash invested: $5,000 Single family House (2 stories), 3 bedrooms, 1 bath. 1100 sq ft. on Corner LotSingle car garage with 16' x 24' lean too.

Eventually, I’d like to start using the cash flow to pay myself and work toward replacing my day job income.