BRRRR lending DTI question

[Spencer Harvey]

Hello,

I'm currently in the process of trying to add a rehab property to my portfolio and use the BRRRR method on it. I have a HELOC on my primary residence that I plan to use as the 25% downpayment, then finance the rest of the initial purchase price with a conventional mortgage (already preapproved). I plan to use the remaining balance of the HELOC to fund the rehab, then refi the property after the 6mo wait and hopefully pull out the majority of the money, pay back the HELOC, and repeat.

It was recently brought to my attention that if my 2018 tax return shows a "loss" for the other two rental properties I currently own, I may not qualify when the lender runs their numbers for the refinance after the rehab 6 months down the road. I have my tax returns mostly complete, and show roughly $10,000 loss between the two properties, but in actuality both properties cash flow slightly above the 1% guideline. 

Since this will likely be the case, the lender suggested I wait to file the returns and try to rehab and refi the property before tax returns are due. I'm not sure I would be able to complete that in time. 

Here is my plan of what I'm trying to accomplish 

-purchase $100,000 house (25% DP from HELOC = $25k down)

-rehab for $20k with funds from HELOC

-new appraisal, ARV around $150,000

-refinance to 30yr fixed, pull out majority of rehab/dp, pay off HELOC balance, repeat etc.

Are there any other options I'd have available as far as obtaining a new loan at the ARV if I would no longer qualify for a conventional mortgage? Commercial loan?

Any input would be appreciated!