@Vlad Krokhmal and @Ben Beddick our real estate brokerage firm Wayfinder Homes specializes in working with real estate investors.

I work with a company specializing in building Tiny Homes.

I'm moving home to California (San Luis Obispo) and want to see if it can be done.

I also visited homes from the developer in other markets (Sebring) and had a good impression too. 

My tenants pay for their own utilities, and I own homes in Memphis, TN, but I was wondering if this was a solid strategy for tax benefits and energy conservation or to see if anyone else does this for their rentals. 

You can do a ‘cash out’ refinance on the rental home as a permanent fixed 20-25-30 year loan to pay off the Heloc on the primary and most likely the equity line on the primary permits a ‘re-draw’ to utilize again. 

Doing a cash out refinance to recoup invested dollars is more difficult due to home values not increasing at 15% YoY.  

This situation also affects two of our neighbors who purchased their homes around the same time.

Here’s what it netted me:$52k in equity at closing: The home appraised at $185k, a full $45k over the original asking price.A solid comp for my flip about to hit the market.A happy seller who got what they were asking for and more.Satisfied buyers and sellers agents with even more commissions.Only $6k down: This is about 3% of the purchase price.I wanted to share this to help get your creative juices flowing when it comes to making deals.

A trust may offer some of the same benefits as an LLC, depending on your goals, and allowing you to claim the part of the house you live in as homesteaded tax.Make sure you have the right home insurance and consider an umbrella policy for extra protection.Certainly buying a house, using conventional financing with limited money down as a primary residence and renting out parts of the house to help pay the mortgage, is a smart financial move.