Some banks though may still use stricter rules though.This is probably not the latest announcement from Fannie Mae, but it should help clarify part of your question.http://www.homefinder.com/content/Buying-Guide:Fannie_Revises_Investment_Property_Guidelines

Gee, there's a hundred or more ways to do deals.Make it known to your PHA that you are willing to strictly abide by the rules, keep properties in very good condition and begin as well as maintain a good relationship with your PHA or Sec. 8 adminsitrator.

I self manage, and I factor in this cost when I purchase using the 2%/50% rule anyway, so the only effect it would have would be that I would not be paying down RE debt as quickly as I am now.

Also clarification on the "no rental for 12 months" rule; if we rented it out as a vacation home (for two or three days at a time, like on VRBO.com) does that count the same as a full on leasee-landlord situation, or could that still be an option for us?

Some of my thoughts on the topic:http://www.biggerpockets.com/renewsblog/2010/04/14/6-rules-for-managing-your-contractors/http://www.biggerpockets.com/renewsblog/2010/04/07/the-paper-trail-every-rehabber-should-follow/http://www.biggerpockets.com/renewsblog/2010/02/17/whats-in-a-contract-contractors-rehabbing-real-estate/http://www.biggerpockets.com/renewsblog/2010/06/09/better-faster-cheaper/http://www.biggerpockets.com/renewsblog/2010/05/26/are-you-sure-your-independent-contractors-really-are/

No C- or D areas.Considering the rule-of-thumb of subtracting 50% of the gross rent tocover expenses, and considering that I need at least 10% NOI, I am looking for properties with 20% gross rental income.I would buy cash, and see later if i can get the Fanny Mae delayed financing to extract cash back out of the property to be able to buy more properties.Any suggestions?

I do not know your local rules but even in CA I have a local backhoe guy that can install systems at great prices and the inspectors love him.

Just don't try to deduct mileage to inspect that property ;) -Steven the Tax GuyYour Guide to IRS laws, rules and regulations.

If you're familiar with the 2% rule (monthly rent >= 2% of asset value) you'll know that you aren't getting that now.

There's a lot of stringent rules on a guy like me, since I'm a business owner and I have 2 rental properties.It was tough for me to qualify for 420K in 2009.