I know we gained about $10,000 in equity in about 3 months just from the market going up.

Is it possible to refi into the LLC with $10k cash out leaving $20k in equity in the property?

There could be related party issues as well.Seems the trick would be converting the note (could have deferred payments) to the S-Corp to increase value.Without getting other entities involved, lending your money with interest income won't get to capital gains treatment.Probably the easiest way is to have him share in title and not make this a lending issue, you can devise a lot of strategies inside an operating agreement in an LLC and again, having a S-Corp as a member.Back on notes, I'm not a fan of sitting on the fence with one foot in equity and the other as a lender.

You will see lower cash flow in Martinez / Columbia but you will have the greatest opportunity for seeing gains in equity when the market fully restores.

The site is still a work in progress (I just have "portfolio" view now, but working on individual property views), but since the discussion came up...Real Life RentalsI also have some "non-turnkeys" for which I'm tracking the same way.To answer your question, the results look great for one property (built in equity and high cash flow, over 20% cash on cash return) and bad for another (no built in equity and major repair killing cash flow, negative return).  

Rent it out and over 1 year or 2 when it gets close to stage 4 selling the last few homes there is usually some nice built in equity spread.If you are buying an existing home at 1% rent to sale ratio and holding try finding an under valued property in a nicer area where at least rent growth should be stronger with a good mix of appreciation.

I have a home that I purchased in 2011 and now it has 185K in equity and I would like to turn my PR into a rental.

Here are the key considerations:Pros:Potential for Profit - Through the value add component you can increase profitability on your return, typically you're buying distressed homes with built in equity, rehabbing and increasing your equitable position furthermore. 

So while you might choose to invest in debt, which has no appreciation, or you can also choose to invest in equity which does.On one hand it sounds to me like you are staying that to tolerate any loss of your money.

Compounding can help you build some additional equity, but you're going to get a lot more bang for your buck earning income right at the start of your wealth building efforts.My younger brother asked me a few days ago if he should be concerned about the recent market drop and think about finding somewhere else to put his $10,000 in equities.