So I would be buying a house with a tenant who is bound to a lease that I won't see until the ink is dry...Not sure I like this.

They want $15k and it's on 1.75 acres, they classify it as 'lakefront' property for some reason even though it's really on some little dried up pond (or so it really looked like) to me.I got more info + pictures on this property at the bottom of the post.

build one new porch to prevent water rotting your door facings off can take your profit for a year.

On the other hand if you take out a HELOC and buy another property that is cash flow positive (including the interest of the HELOC) then go for it.I guess the question is more of a theoretical nature since my local mortgage broker is telling me that the HELOC market is all but dried up.

tearing down walls, building new walls, supporting members rotted, sills rotted, foundation cracked?

If you find someone that will do dry double closes, particularly without full disclosures all around, they may not be in business for very long.

For you to define it would  be something like:  My financial freedom is achieved when I have $12,000 a month coming in from a passive income source that is not likely to run dry.  

For example, if you own a dry cleaner, don't put your rental properties in the same LLC as the dry cleaning business.One clarification to Account Closed's post, there are no tax benefits to holding property in a LLC.

The new dumpster from a competing company is in service and I hate have two dumpsters, especially the republic one with rotting garbage.

Termite or rotted wood.