Prudent financial planning suggests setting a threshold ROE as a goal.When your ROE drops below your threshold, it signals the time to extract “trapped” equity and place it into another investment with a higher return.

I want to correct that this extraction of vale would be tax deferred and not tax free.  

Granted after a refi it was not good cash flow but I had just extracted a large amount of money tax deferred and the way the rules are today it is possible that extracted money will never be taxed (1031, step up basis at death).

However if I do a BRRRR I can achieve infinite return by extracting all of my investment.

I could extract some of the trapped equity, but I would 1) be paying double the interest rate I have 2) would be very large negative.   

Typically the higher RE cost market will have the better cash flow (excluding an extract of value) over a long hold.  

Quote from @Shlomo Rozen: I don't have cash on hand for a deal but I do have at least $100k of equity available in my primary residence that I could extract as a HELOC.

Even though I have much to criticise, living in the US could be so much better for it's people, we are sometimes our own worst enemy when you look at things like this money extraction scheme called health "care".

If the brrrr is going to cost $0 after the value extract, the price of entry has no adverse consequence.   

Quote from @Ej Rojas: AI is great for a lot of things besides correcting grammar.For example, I have an agent that extract data from a website, then another agents cleans the data, then AI does an analysis of the collected data and provides insight, steps, or actions.I use tools like Zapier, Claude, and OpenAI.