The reasons that landlords in Maine have often achieved successful evictions include: non-payment of rent, substantial damage to the property, and changing the locks on the doors.

In our initial evaluation there was a land locked parcel included in the sale.

One of the benefits I liked most about this HELoC is that it offers you the ability to lock in a fixed rate 3x throughout the 10yr draw period.

Admittedly, this is a possible red flag...if anyone knows how to estimate an ARV in a situation like this, I’m all ears.— The $250 number is AFTER taxes and insurance (either being paid by her already in her current mortgage, or by me which I will roll into the $1300 monthly payment) and after landlord utilities.

Rental area Comps: $1,600.00/unit per month (some as high as 1800)Repairs: none needed to rent one side (windows must be replaced soon)As I see the numbers:Income: $3,200 (potential)Expenses: $1,163.00 (Vacancy, Taxes, Insurance, Maint etc.)Mortgage: $1,690.00 (plus/minus $50 since we haven't locked rates yet)We appreciate everyone's help and advice - we are very excited, but the ROI seems low for an investment, however, this will act as an entry into RE investment and allow us a place to live and collect some rental income simultaneously. 

Your risks are having the funds locked up for 6+ months (assuming you keep it in your own name), not knowing what the appraisal will be (ie how much you can take out), and the future interest rate.Run the deals for your best and worst case scenarios- do you like the cash flow after the refi if you get 75% of $10k less than you think it is worth at 6-7%?

I know in our market were just the building permits per house/ unit run 40 to 60k each..  5k to me just is trying to lock in the buyer so the buyer has some skin and just does not tie something up with no consequences if they back out.. 

Why would you lock yourself into a lease with a tenant when you have no indication of whether they can be good tenants?

I have known a LOT of co-workers that have left Cali only to realize they are locked out of ever returning.  :-( My wife and I make a good income.  

I have limited experience with SBA Hotel loans, but depending on the structure you may be able to refinance with conduit debt and forego the recourse, as well as lock in to 75+% LTV, 30 year am, 10 year money (with mez debt maybe higher than 80%) with unbeatable rates (usually 275 basis points over the 10 year).