However, i am thinking off using equity out of one of my homes to purchase another with FHA loan.

Congrats on making a lot of equity at a young age on your first condo purchase.

It's the same as buying any other house with a mortgage.....the owner owns it, if there is equity they pay off the mtg balance at closing, if no equity it is a short sale, and RM's require a price of 95% of a current FHA appraisal if it is a short sale.  

Sweat equity counts for something, right?!  

Keep in mind that your also paying down the principal and building equity Good luck!

The LLC would then in it's operating agreement assign the equity to the various parties to the deal.

The equity, which invested is worth 10%+ in todays market, is lying dead in a rental property. 

Ryan:  I own a debt and equity firm that arranges financing for commercial and multifamily real estate across the country.  

Im looking for deals with equity build potential in an OK neighborhood.  

I wish what you were saying were the case, because I'd be able to pull out a ton of equity on the house I just bought for 43k that's I rent for $925 a month.