Purchase price: $30,000 Cash invested: $35,000 Sale price: $120,000 Good street, good bones, good price, great potential for a number of methods (STR, LTR, Flip, BRRR).

The HELOC is an ok took for you to use as your own personal construction loan, other than that it doesn't have a ton of value as a down payment method.  

I always focus on exit mechanics: rights of first refusal that actually function on a timeline, an appraisal method everyone accepts in advance, and a pre-agreed path to sell or buy out without torching value.

On the returns there is no checkbox to say full engineered depreciation schedule vs XX method.

Others are applying the BRRRR method. 

A few things I always check:Expense ratios: Are they realistic compared to local benchmarks, or trimmed to boost NOI?

Asking lenders/investors: what’s your go-to method for checking payment history and verifying collections data before a purchase?

Quote from @Allie McAlister: Hi @Vasudev KirsAre you looking to purchase another property that is distressed and use the BRRRR method?

They should be able to help you identify markets and properties to use the BRRRR buying method.

Trade or business activities are activities, other than rental activities or activities that are treated under § 1.469-1T(e)(3)(vi)(B) as incidental to an activity of holding property for investment, that—(i) Involve the conduct of a trade or business (within the meaning of section 162);(ii) Are conducted in anticipation of the commencement of a trade or business; or(iii) Involve research or experimental expenditures that are deductible under section 174 (or would be deductible if the taxpayer adopted the method described in section 174(a)).