My valuation shows negative cash flow.

Purchase price: $185,000 Cash invested: $33,900 Sale price: $280,000 Contributors: Peter Vekselman Partner Driven, in collaboration with Seth Choate, successfully completed a deal on Sierra Drive, Coulterville, CA 95311.

You can use a DSCR loan (you can find lenders by using the "Find a Lender" tab on BP) and not have to worry about a tax income or W-2s, the underwriting is done based off of the property's cash flow.

Tracking down the buyers for signatures, providing the proper disclosures and addenda, explaining that all inspection reports are 52 pgs, etc was really draining on me.

We never took out the equity from the property; however, if I were to do it again, I would likely have done a cash-out refinance or a HELOC so you can pull out the equity and roll it into the next deal.

Fannie: B2-1.3-03, Cash-Out Refinance Transactions (02/01/2023)Freddie: 4301.5(a) 3/6/2024

We built a home a while ago and are wanting to get it appraised for a cash-out refinance.

As someone with little capital to invest at this moment, I’m wondering if this is a reasonable (and relatively safe, depending on the deal) option to pursue even if I’m not clearing much in the way of cash flow to start. 

I am not aware of anyone providing a HELOC up to 80%.

If cash flow is more your focus, consider multi-families in Dayton and Cleveland, where you can see cash flow rates of 10-18%.