Plus, having at least one employee with an NMLS [inactive] license suggests they are knowingly violating the SAFE Act; I can't fathom how they could claim ignorance on this.Two elements of their business model seem highly predatory:Forcing a consumer to sell their primary residence to clear the debtForcing a 2% reduction in equity every 30 daysI'm waiting on the Company to tell me what exempts them from either the SAFE Act or Dodd-Frank. 

There are millions of illegal rooming houses and it all works until a neighbor gets mad at the noise, trash, bad elements hangging around.   

Fairly new to this and although I understand how to run most of the critical calculations to analyze the deal the part I am struggling with is understanding the best methodology when it comes to the "Refinance" portion of the deal.There are (2) extremes:Option 1: Take the full LTV that is offered even if it means running cash neutral/negative as it is buying the next house and the combined income of the (2) houses versus one is more than just the one.

This new information would require the property to have a fire suppression system, as well as a paved parking lot with a combined cost of ~$45,000 which no longer makes the property BRRRR friendly. 

Also, it is possible to have two VA loans as long as the are combined below the VA loan limits for your geographical area. 

They produced great dividends, but I wasn’t combining that with a market analysis.

If I increased combined maintenance and capex to $500/month, it would still be cash flowing $100 including a management fee in the expenses and that's on FHA financing. 

Here's the key: If you are looking to get an estimate of the subject property's current value, look at a combination of active listings, pending listings, and sold/closed within the last 180 days (6 months).

I combine some formulas of what has sold, cost per square foot, unit types and current market conditions.

Or some combination.