Don’t out more leverage on another asset since we are talking REI.  

It’s great that you’re bringing your property management experience into real estate—your knowledge will be a huge asset.

Based on location and some rough math, he's definitely looking for market value (stabilized asset) vs the current condition.

Another we work with will take a new deal that was $500k, they may lend full amountore but they would also need to cross collateralize as well on other assets that would have to be atleast 2-3x value of the property.  

The cash flow is poor for this value of an asset and my equity position.  

That allows the payment to be low, manageable and easy to cash flow when you transition it into a rental.When you move out you will have more money in the bank, stronger assets, and be cash fluid in case you need to make an offer on more investment properties.

They provide strong asset protection, separating your personal finances from your business.

If you violate any of these rules you could blow up your IRA or 401k and the IRS could force you to distribute all of the assets in the IRA or 401k.

They actually failed to pay taxes in 1983 as well according to the follow up article below. 2 years later in 2017 the County reversed the sale voting 7-4 against “these out of town speculators trying to make a big payday” and for the fine people of their district. https://www.sfgate.com/politics/article/SF-supervisors-to-vo... well if the county sups could unravel it then the rules have certainly changed from my days of buying CA tax sales in the 60 70s and 80s.. once they went to bid 4 assets and away from the live auction the screaming deals were done.

The investment is not the month to month cash flow, it's literally the asset itself.