Thinking about making the first purchase:roughly $90K sale pricePlan to purchases with 100% Home Equity Loan 7% interest only for 12 monthsInvest $20-30K in renovations (using 7% interest loan)Anticipated value $150KThen Refinance $90K with conventional mortgage before the 12 months are up.It will cash flow $300 /month based upon current market rentals.Question: Could I also consider selling property where I finance?  

Peter,That does not sound accurate based on having a Schedule E and being able to take those deductions as well as other standards.As an investor it’s not a bad thing to show more gross income which usually allows you to buy more properties with more income and a lower DTI.

It’s based on their purchasing power, which I know changes at 4 because 5+ we will calc DSCR to determine LTVs. 

I have a healthy income and have built a solid financial base for my age.

This may be easy enough for most states and their relatively simple tax regimes, but states like California, New York, Texas, Pennsylvania, and a few others have some quirks to them.For example, California makes disregarded single-member LLCs file a tax return, pay an LLC tax four months into the tax year, and potentially pay an LLC fee six months into the tax year based on estimated gross receipts.  

They are about $100 for a 3 foot base cabinet.

DSCR loans for refinance based on the income potential of the rentals.

hello im an investor based out of central Illinois and im looking to get financing from private money lenders looking to make a passive income does anyone have any suggestions oh who or where to start??

What this means for you s that there is a good chance that your existing SFH becomes rent controlled when the ADU is placed in service (I would like to see the law clarified on this as this practice goes against the rationale of the 15 year exclusion). the reason this is important is that any rent reduction places your base rent at that point for rent control purposes.  

The main reason why the answers are so varied is your situation and your inability to judge what is best for you without data.