Insulting my intelligence is not very constructive and no one has any clue re my situation. 

Not leveraging your portfolio, either via a refinance or more indirectly in an equity raise, is a poor financial decision, from a tax standpoint as well as a growth standpoint.The only reason it doesn’t make sense is if your investment property is fundamentally a loser to begin with, or if you do not have financial intelligence and think it’s a good idea to pay off your loans 100%.

Disclaimer: Although I am a Texas lawyer, I'm not *your* lawyer.To speak intelligently about this requires a lot more facts than you want to type out, but generally there is a discovery rule to the statute of limitations. 

Probably a combination of both in the case of California.It seems that the majority of California citizens, although they may be intelligent, are not particularly smart.

@Jorge RuizThat is a matter of opinion, and your read on the future growth or demise, currently i am a bit pessimistic on the market, cycles tend to be approx 9 years, and we are in year 9, the stock market is at an all time high (artificially inflated,IMO) and consumer confidence is quite high,  consumer debt is rising, again, and banks are getting loose, home buyer demand is high, and Charles Schwab is having a huge influx of new brokerage accounts.

Is $134,900 the market value of the house, or was it an artificially inflated listing price? 

They offered a solid proforma and strategy for a intelligent  buy in on a class C muti-unit project and an credible  exit strategy in the 3-5 year time frame. 

I think the prices are artificially constrained because of the inability to develop new housing stock to meet the demand for housing. 

to make it more difficult, I got my family of 6 move in with relatives in Virginia.feel free to question my intelligence 

>Appreciation means nothing to me as I'm not selling and I don't do 2nd mortgagesI have only one property with a second and that is because the second loan is artificially low (it is at 3%).