Also, in a mainstream asset class like value-added multifamily, I see no reason to take a risk on a sponsor that doesn't have full real estate cycle experience and didn't lose money.

Consider you could lose the deal.

Good luck with your ventures! 

To me, a relationship where both parties have something to lose is more likely to be successful for both sides.

My initial thoughts are to use the $30k to knock down the debt to $10k as the much higher interest I pay on the debt means I’m losing money each month, and start again saving from scratch.

I just don't see a situation where I don't lose one way or another.

The point is this... if you home sits on the market for 60 days instead of 14, you're losing almost 2 months of rent.

If there's cash flow, can I really lose?

The last thing you want is to drag someone else into this and for them to chicken out and waste your time or get involve and lose money and blame you. 

They will lose money on the mortgage for a mere opportunity to pitch you on their asset/wealth management, and also their car loan, and also their checking account, and also their savings account, and also credit cards and debit cards, and so on... that's what cross-selling is and how it works.