Alex,Leverage is great when it is used properly.

The problem is, aside from knowing that a lot of money can be earned if done properly, I pretty much am ignorant in this field.

Moral of this story is to make sure you have proper and adequate (if not excess) insurance coverage, particularly when you have multiple properties (multiple possibilities of litigation).

You meet with him and dsicuss his situation and get information from him, such as the names on the title, the approximate loan balance, make note of any repairs needed, etc.

After all, it ALL hangs in the balance of zoning.

If that is the case you might also have trouble when selling if he doesn't get the proper permits you won't be able to full capitalize on the improvements you make.A HML would work in this case if the ARV really is 220k...but you don't want to have to pay the high points and rate they would charge on that.

When any bill shows up, just put it in right away with the proper due date.

If you go get a loan, then that loan has some LTV or loan balance to value on which the loan is based.

You must have the proper document and procedure to avoid title seasoning.

With an S election that allows you to claim some income as salary and the balance as distributions, on which you pay no Self Employment tax saving 15.3%If your tax adviser is not knowledgeable with these choices find one who is.