Investors should be familiar with the process and procedure and better yet...complete the application (even if it cannot be submitted until recording) prior to the expiration of their due diligence period.

Spending $50K over budget upfront could break the BRRRR math.If leaving $50K in the deal significantly reduces your cash-out refi or increases your payback period, that defeats the BRRRR strategy.

Origination costs usually can't be rolled into the loan on PM/HM funded deals so you'd be on the hook for closing costs and as Nicola mentioned holding period costs. 

But the hold period needs to be long and you need to underwrite higher taxes and slower rent growth early on.Pilsen (Option 2):More stable demand, more character, and—importantly—less supply risk.

That's another thing I have looked into recently, but the MF RE seemed like a better option assuming a hold period of > 10 years.I did not know about the CA fair plan - that's good to be aware of and I will keep an eye on it.Thanks for the advice you give at the end of the post concerning wise paths to take. 

“Avoid blocking air vents or shutting off HVAC systems for long periods.”

I require a notice period of 30 or 60 days plus a cancellation fee.

The real wealth in real estate comes from owning the underlying asset over a long period of time, having your guests pay down your mortgage, and watching the property appreciate while you cash flow along the way!

I can take out another HELOC and assume the $44K into it but than I would be paying a higher interest rate with a shorter payoff period. any advice?

MLS, made low cash offer with move out period for seller How did you finance this deal?