@Michael WeisA HELOC is a separate product.

The appraised value would be off of the finished product after repairs are completed by the contractor.

Licencing is also a major concern.

Shawn.Duplexes and single families and quad's all work in the same way and you should have a little bit of diversification in terms of location and product type. 

Majority of the time the property is vacant so I send them the combo on a case by case basis and the rest is history.

What's even worse is I'm told that I'm likely to get audited by the Japan tax authorities because I've listed a previously cash producing asset as suddenly having a gross income of $0 for the entirety of 2017, which is seen as a major red flag.Does anyone have any recommendations for what actions I can and should take given my situation? 

Looking at a few a off-market properties it seems like the smaller ones in good areas have great potential, but only for major rehabs - simple floor and paint jobs just don't have margins to make sense. 

Although that product is great for follow up and wholesaling, we are looking for a workspace designed to also manage rehab projects and rentals, as well as a better place to keep track of our private lenders/coaching clients/agents etc. 

He suggested getting on facebook as a major means of marketing. 

For example, you can hold $7000 in an emergency fund, that would cover most major things.