For me I use 6 months of reserves (monthly payment mortgage, property taxes and insurance) for each unit (if a duplex it's 2 units) and an additional $10,000.

If you told the bank you were using the HELOC money to buy a rental they wouldn't give you the line of credit because there are way to many inherent risks. 

Or partner with a credit counselor. 

In addition to that I love accounting and tax and love helping people and pointing them in the right direction even if our model isn't a fit for them hit me up any time!

They tend to have lower credit scores or other issues.

What was the borrowers credit score? 

In addition, I had to pay an additional 1% down payment so that there was time for the loan to get transitioned to the final lending institution before interest accrued and exceeded the max approved credit limit before I had a chance to make a payment.

Additionally, investors can hire a property manager to handle day-to-day operations, freeing up their time and allowing for truly passive income.2.Real Estate Investment Trusts (REITs)REITs are a passive investment option that allows investors to purchase shares in a company that owns and manages a portfolio of income-producing real estate properties.

I found an Off Market property in Claremont when fixers were selling for $680k, we bought our home for $550k and got a $50k credit from the seller for some of the renovations.

However, you should always be able to claim a credit on the other state's tax return.