We came to the realization in the last year or two that raising capital was very tough and required a much different skillset then acquiring, managing, and liquidating NPNs.

I have $120k in company stock which I liquidated this year since the stock is trading at all time highs and next year isn't looking good for the company. 

I would be targeting ~65% of UPB and hoping for the first couple of times to find a seller who really needed the liquidity.

Listen to Podcasts4. browse real estate/equity forums.Stocks are easier to get into because the investment itself is so liquid and can have a relatively low entry point.Real Estate on the other hand can get a little bit more complicated and harder to get into.

Our current monthly gross rents are about $60K and we like to keep about that same amount available in liquid cash.

They want at end of the lease term for the loan value to be lower than the dark value so if tenant does not renew the option or you can't find new tenant then they can foreclose and be made whole on the loan liquidating the property.

- In the end, there is $25k equity in the property, $5k liquid remaining, and $150/month cash flow.- If the investor takes $5k liquidity and half of the cash flow, the CoC is 11.4%- It could be more lucrative if the intent was to flip and funnel the house through turnkey after a yearJust thinking out loud here

So it makes sense to hold a percentage of liquid cash to cover the expense. 

One being that HELOC's suffer the first hit when liquidity in the market dries up.Sitting on that heloc as a means to purchase in a downturn might sound like a good strategy, but in most downturns liquidity is going to dry up and banks will close many un-borrowed heloc balances (and might call some that are open).

You likely need a partner with experience and cash liquidity.