House hack? Financing questions

[Austin Shireman]

Hey BP,

Asking for some advice on a situation with financing. My parents bought this 9-acre farmstead using owner financing 2 years ago. The house and property were in a very distressed state but they have modernized and fixed the property a lot. The property also has an old farm hand mobile home on it that was rented out. My parents also did a complete gut and update on the trailer once the previous tenants moved out. They now want to go to a bank and try to get it financed through them but the first bank they went to said that they couldn't lock the interest rate on the loan with the rental being on the property. Is this common? I would've guessed that it fall under an owner-occupied situation maybe? They also want to make sure all the improvements to the trailer are included in the appraisal so they can get a nice LTV on the farm. Any advice out there would be appreciated. Thank you again, BP!