But I still think that on a property this expensive, you're either going to tie up lots of cash OR pay PMI (because if you have access to a HELOC, you could use that "cash" for purposes other than taking out a loan for a down payment, like buying a different investment property for cash.)

Even with a great location sometimes access is bad.

You'll need to work with a broker to access their programs.

One of the advantages is that you will have access to MLS (also a monthly recurring expense). 

This weekend I plan on networking is open houses in my target area, while I don't plan on wholesaling an open house on the MLS, they are a great place to meet real estate agents who have access to the MLS and can give you comps (a strategy I got from Brandon Turner's 'Investing in RE w/ Low and no Money Down' which is a great read). 

@Michael Woods You're actually allowed to build an ADU, AND could convert the garage to a jr ADU if a bathroom to the main house is accessible for use.

Some of the differences with SFR that make them less valuable than otherwise similar comps are location on a busy street, smaller lot, bad condition, structural defects, higher tax area, different school zones, different deed restrictions, access to main roads, rush hour traffic, obsolete or unpopular architectural style, inferior finishes, time since remodeling, age of roof, flooring, and others too numerous to mention.To get the discount to fit your formula, you’d probably need to find a house needing significantly more than $15k of work.

It was completely legal for me to get the withdrawal and NOT use it for the hardship reason, but utterly ridiculous that I have to go to such lengths to have access to my own money.

I’ve got strong equity positions with a few different rentals and would like to have access to additional cash, but every lender I’ve spoken with so far can only do HELOC’s for primary residences.

The attendant doesnt have access to the cash or coins.