DSCR Rent appraisal - Montana

[Matt Hubert]

Hey all! Looking for some others experiences with rent income appraisal for qualifying a DSCR loan.... Have been under contract on a studio condo with DSCR loan and 25% down. Sales price appraised but the rent income did not meet the 1:1 requirement. We're stretched thin enough on this deal that I'm not considering putting additional down. We will try to negotiate price with the seller. This is our first investment going under contract so quite a learning experience.

Outside of putting more money down, or negotiating a lower selling price, what have buyers done to get to the finish line?

What are some rules of thumb during due diligence to avoid getting this far along only for it to fall through during appraisal?  We're out $$ for appraisal and inspection at this point.