On paper, it looked brilliant..cheap money, quick turnaround, and a profit projection that made his eyes light up.It taught me that the real risk isn’t just the cost of capital, it’s the predictabilty of your exit strategy.

The first question is how do I exit the property if I purchase it?

There are also other new construction homes on our street facing the same issue.So, I’m kind of stuck with this property, which is why I’m exploring ways to cut my losses and exit cleanly.

I know of no RE investor that had RE before the crash that did not exit that would agree with your statement including this investor.  

Instead of ring cameras at each door we would angle them down the hallways from the ceiling to get a shot of who is entering and exiting each unit.

This reduces exit options and affects the value. 10) Small number of small units is the most expensive residential development there is.

This reduces exit options and affects the value. 10) Small number of small units is the most expensive residential development there is.

Once the property is renovated, then your exit is either a sale or a refinance.

I personally don't like a HELOC unless it's for short term costs that will have an easy exit strategy - ie: a BRRRR - use a HELOC for the rehab, then refinance and pay off the HELOC.

A good local agent should be able to help with some of those updates needed for the exit sale.