If you’re passive and not materially participating, depreciation losses may be limited, and the tax savings don’t always offset other income the way the marketing makes it sound.A more realistic path is to use smaller properties to build a portfolio, then structure things correctly as you scale.

I like to borrow per project versus a large lump sum for 2-3 years.On the refinance, I pay back my lender.

We have a couple large cabins that sleep 20 we self manage from 8.5hrs away and a large beachfront 6 bedroom nearby. 

Capital inefficiency usually shows up before people realize they’ve “scaled.”

We capped leverage early and scaled through repeatable cash-flow deals instead of chasing growth for its own sake.

Using a low down-payment loan on a duplex or small multifamily lets you scale without tying up much cash or touching your existing equity, and it often improves overall cash flow.

So my question is how can I scale at a much quicker pace?

Quote from @Melinda Eilts: Many investors hit a wall when banks stop lending due to DTI limits.Others scale by:Letting the property qualify itselfUsing portfolio strategiesPlanning exits before acquisitionThere’s more than one way to grow a rental portfolio.What’s been your biggest bottleneck when trying to scale?

Prioritize boring cash flow and clean operations over chasing the perfect duplex, because the first small multifamily that runs smooth is what lets you stack reserves and scale without stress.

I am looking to use the equity in my rental to purchase another investment property and continue to scale my portfolio.