This is where you use the continuous stream of profits from Level #1 to buy "Cash Flow" Properties.Depending on the Market you are investing in, based on the dollars you are talking about, this should take you no longer than 1- 3 years to get to Level #3.  

Plus my wife and I just went through a Chapter 11 bankruptcy a few months ago, so we still have bills.Thanks to BP & its' podcast, I now know that I'm going to need to work toward 2 goals - 1st, a steady stream of passive income through buy and holds, but also periodic injections of cash flow through flips or wholesales.

Assuming they can afford it, maybe seller financing the house to the current residents could repair the relationships and provide a stream of income for the new owner and save any major repair/rehab costs.Would still hire that lawyer even if you go that route.

I would look into HML as many here on the forums suggest that as a passive income stream for hands-off investors.

It gives him a stream of income, rather than a lump sum that he's got to figure out what to do with. 

Also, if you don't have a steady stream of W2'd income you won't be able to refinance at all. 

Small back ground:  My husband and I own 8 SFH that we use for monthly passive income streams. 

Representing over 50% of the income stream you have a right to be concerned.

I currently buy and hold and want to build a cash stream to continue purchasing buy and holds.  

My focus is on buy and hold single and multi family units to build a passive income stream to have options once out in the "real world."