Taking over his already paid down loan at 3.5% for 28 years saves a ton of money and no bank qualifying or lender costs.

Said another way, unless the property has no other liens it is unlikely they will let you take it for such a small cost.

Also its a small home which still have high maintenance costs.

You'll want to be in markets where deals beginning to end cost 20k - 25k for maybe a 4 - 6 month project close to close. 

You'll also want to ensure you have a good property manager to look after the upkeep of the property if you are not there to notice anything deteriorating or which may need attention.Creating an LLC in California could cost you a minimum tax of $800 every year.

If you're an experienced developer, let's connect. if you would consider other markets im in between columbus OH and Miami FL doing a 11 story deal right now in Columbus land cost is very low miami is the opposite

I know that there are some cost-effective callers out there but would be willing to spend a bit more if it produced better returns.Thanks!

The land would be used as collateral to pay for closing costs etc .

Lot of good strategies with a heloc but I prefer to lock in the costs with a fixed rate loan and know what I m going to be paying.

The costs for the LLC business will be paid with the primary business card.