A lot of people talk about how they got the downpayment for their first property, whether it was by saving their money, working with an HML, getting it from friends and family, but once you get your first rental property and it's cash flowing say, $500/month where do you get the cash for a downpayment on your next property.By my math, even a good cash flowing property that's getting it's mortgage paid down would still take 2-3 years until you could refinance for a down payment on a second property.

The intersection of wholesaling and real estate licensure indeed poses ethical considerations, and your mention of potential seller frustrations underscores the delicate balance required.In fostering a community dialogue, I invite the esteemed Bigger Pockets community to share their experiences and perspectives on navigating these intricacies.

The Midwest has several areas that still cash flow with the current interest rates.

There are a few little things to consider, but generally that works well.If you get your long-term rental in very well performing locations you can use the positive cash flow to pay the HElOC back.Just to give you the math (the numbers are simplified to make it easy to follow):- You get the HELOC for 70% of the equity = $260K * 70% = $182K- you use $75K for the down payment of the $300k investment property- If you have $500/month positive cash flow it will take you $75000/$500=150 month to pay back the HELOC- When looking at really well-performing deals between 1% rule and 2% rule, you could probably three properties, professionally managed in the right location, each generating $333/month in positive cash flow, so your HELOC would be paid back in about 6 years.- Keep in mind that a HELOC has the benefit of requiring you to only pay interest on the actual balance.

Here are some general considerations:1.

Buying real estate, especially off-market deals, requires careful consideration to avoid scams.

A fully operational hand off short term rental with positive cash-flow and after the cash-out refinance at 65% LTV, yielded an infinite return.

For us, long term equity growth and appreciation are top priorities, since we don’t really need a few hundred a month in cash flow with our current income.

- Do you have a current need for that cash flow generated from the tax savings? 

Buying in a market where you can get some cash flow will be ideal.