Securing my position while helping homeowner qualify for a loan

[Mike S.]

Hi BP community! I have a homeowner who has received a home passed down via a trust and then deeded it to herself as an individual directly. The home previously had a reverse mortgage and since the transferring of title, they are calling it due. Value is at 350 - 380 k, owes 261k. She was unable to qualify for conventional financing due to a high loan to value (LTV), about 56%. Needs to be 45%. I may be willing to take a 2nd deed of trust for interest, and of course want the security, but the lender says they will need to calculate my interest payment into her Debt to Income (DTI) ratio as well which will affect her qualification. Is there a way I can loan money as a 2nd lender, secure it without affecting her DTI?

She is open to an equity share, but I do not want to have to qualify for a loan or pay all cash for the home. She wants the home to be a rental to her sister, who is already renting it now.

Please let me hear your thoughts and strategies!!  Thanks all!