Back in the saddle - Financing question

[Scott Luetgenau]

Hi folks!

I'm using the suggested template pinned in the forum to make sure I don't gloss over important details.  Let me know if I missed anything and sincere thanks for any feedback - it's greatly appreciated!

Your goals and story: I'm 44 and recently divorced.  My ex and I acquired four properties over time.  She got two and I got the other two.  I sold one earlier this year and essentially paid off all credit card debt.  The other home is my primary in Garner, North Carolina (10 minutes south of downtown Raleigh).  That home went through some renovations and recently appraised for $229K and I owe $178,863 on the property and currently have that financed on a 30-year with First Federal of Lakewood for 3.07%.  I was bummed to lose some of the progress we made, but the sale of the other home paid down all of dumb debt I'd accumulated.  That said, I'm really hoping to get back in the RE saddle soon.  My job allows for remote work but I put in my notice last week and will be working through the end of June.  I've got a small business that I'll be working full-time so the runway before my FTE position is up is limited (in re: to financing concerns).  Unfortunately, I had a small decrease to my credit recently due to a missed payment - my current FICO score is 696.  

Location of property: 30 minutes outside Asheville in a great short-term rental area with growing demand.

Purpose of financing: Purchase OR purchase/reno/construction

Type of financing sought: Open to all reasonable solutions.  

Current or prior ownership of real estate: Have had three rental properties and a primary.  Currently have a primary and thinking of renting that out and moving into this one while readying it for short-term rent.  

Occupancy: Will be owner occupied until fully renovated and ready for short-term rental market.

Value of property at present and/or your offer price: Last tax assessment was $117K - seller is adding a metal roof and offering for $115K.   

After repair value: $253K

Anticipated or actual appraisal issues: None anticipated - may be able to use equity from other home or funds from my business to supplement a bit, if needed, here.  

Current rents per month: N/A

Fair market rents per month: $1,400 for long-term rental and $2,100 average/monthly for short-term rental (conservative estimate)

Down payment or equity: Would prefer minimum down payment possible.  

Source of down payment funds, if applicable: own funds, secured borrowed funds (HELOC).

Income Source: Salaried FTE W2 until 7/1/21, 1099 independent contractor (healthcare consulting for 2 years)

Gross monthly income (optional): $6K

Monthly debt obligations appearing on credit report, plus (if applicable) personal rent and alimony/child support/etc: $1,400

FICO: 696

Credit issues: One late payment on a card recently, currently owe $4,700 in cards.