@Justin Mathews, if the rent differential is not that big with a renovated/nicer space, make sure you only inject as little capital as possible.

It does seem a bit overhyped but I'm also wondering if current owners of these underwater properties are looking for an injection of capital.

You don’t see value in injecting money into a system that’s producing 15% returns?

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.

Hi @John P.I'd recommend looking into pressure injected grouts.  

I don't typically finance multi-family projects but you have a lender that will allow you to inject no cash to the project?

However, the inspector mentioned he did notice poison injection sites on the outside of the house, so he assumes this was treated.

It turns out that as the silent (money) partner he really has not injected anymore cash into the company than I have.

An example would be, you earned say 100k in gains or in an IRA and you reinvest them into a opportunity zone fund to purchase a property or invest in a business in these opportunity zones you will defer your taxes while injecting growth in these troubled markets.Here’s a link that is pretty detailed: https://www.wellsfargo.com/the-private-bank/insights/planning/wpu-qualified-opportunity-zones/

No lender I know of will trust an appraisal as your equity injection.