If this were you, you would........Assumptions: house under contractBuyers credit: not greatBuyer has equity in primary residence.Purchase price: $365kDownpayment: 10%Rehab: $50kARV: $600-$620kBuyer has a HML willing to do 10% down on this contract.

This is not a "cash out" situation but you don't have to fund the rehab.I'm doing things a little differently in that I'm getting a line of credit (from the 1st mortgage lender) to cash out my equity created.With commercial, it's BRRRR on steroids all at one location and, in many cases, it can be managed by professional management companies.

You are buying the house worth i.e. 120k and you are getting a 60k credit for taking the land, so you pay 60k at closing.I recommend everyone interested in the sub100 markets to spend a day in the shoes of a property manager in that area before pulling the trigger.

I just have to see what cards are in store for me and learn from my mistakes.

Make sure they make 3 times rent, minimum credit score depending on type of area, no past evictions or collections or bankruptcies on credit.

Just sold my oldest  rental unfortunetly, to pay off all credit cards!!....

I plan to refinance in couple years. 5.50% is high and I was very surprised at the quote with my credit being 800.

Pardon the poor analogy, but is it like using the property's equity like a credit card?

Credit is 740+/-Work in property management and am a realtor in MN

Here's my situation: I have a good job and a six figure w-2 income, as well as an 800 credit score.