I think it comes down to you the investor needing to raise your financial IQ to be able to advise your tax professional on what to do so they can implement the strategy instead of them strong arming you into a conservative and poor tax play.

@Frank Jiang agree 100% that while they pitched this as market making and it could have been more of a pure play like you described.

I refi at a more conservative LTV than most but that is my way of playing in RE. 

Trust me, I’m looking ahead to play the long game.

Targeting newer brokers who haven't built up their buyers list yet is a good play too. 

A gamble, given it was a guess the house would appraise for what we expected.When we originally discussed this with our agent and mentor, these are the numbers we presented.

I paid for an inspection up front and walked through with the inspector (I figured $500 was the price to play). 

Hi Tim,Maybe make it more of a destination by having some fun stuff spread around the acreage.A putt-golf place, archery classes, a kids play area with swings, and etc..., outdoor movies every Tuesday night, a small general store that sells "Hard Liquor", wine and beer, as well as hot dogs, chips and soda near the road so passersby can purchase too.

And the other one does ok, but in a really good location with gentrification in its path so it’s more of an appreciation play.

(Kind of a gamble in case it took months)