So even if appreciation were slow significantly, A. the loan amounts are still not upside down and B.the buyers have a lot more skin in the game from their savings so they are going to be more motivated to not just walk away (like what happened in 2008).

I would recommend going into a career that can fund your business (or at least your personal expenses) while you study to become an agent as some sort of fallback in the event of the competition squeezing you dry.

It's for a mid-to-high-end rental in a relatively dry climate of Hawaii.

Your tenant's lease is expiring so you should send them notice that you are not renewing their lease, that your loan requires you to occupy the home, and they are expected to be out by 11:59PM on the termination date.I suspect they failed to pay rent because it's their last month and they (wrongly) assume you'll use the deposit for rent, leaving you high and dry with the cost of cleaning or repairs.

@Julien Amparan You should be buying good deals in a good and bad market, just make sure the numbers work, you have reserves, and you are putting money down on a deal (skin in the game).

Appreciate the excellent breakdown... the last time i did a 1031 it was more cut and dry since and the HELOC wasn't involved. 

Factoring that in makes things pretty cut and dry.   

I've been reading and listening to the BP podcasts a lot last couple of months and figured out that it would be time to get some skin in the game.Being born here in Montreal and moved into different neighbourhoods throughout my early years, I've decided that it would be interesting to start networking and finding people in my area that has the same passion as me and really get started.

The property stayed dry with the exception of a couple low spots.

They're going to want you to have some skin in the game so you'll need to bring some cash.