I'm guessing an investor who could afford an $800K house wouldn't have trouble getting a loan, but maybe they would like being able to make a small or 0 downpayment. 

(Keep in mind there are Fannie Mae maximums on the number of personal loans you can have - which is 10 per person.

You guys need to get rid of that student loan debt.

The substitute of collateral was more of a scenario where you sold for $155K, and instead of paying off the $88K loan in your scenario, those funds stayed at the title company and were used on a cash purchase happening nearby in date. 

Over the next 5–10 years, I plan to scale to a portfolio of rental properties and eventually diversify into syndications.I’m particularly interested in the Lynchburg, VA market and other areas with strong rental demand.What I Bring to the Table:I’ve been saving aggressively, and I’m exploring physician loans to help get started with minimal upfront costs.I’ve done a lot of reading (shoutout to BiggerPockets books!)

And if you are not in a position to refi quickly or cash out the loan then you too take on a risk.. thats it thats the whole enchilada when it comes to sub 2.

In Ca many loans are done through fractionalization method which is not that common in other states and illegal in some.

Hey Patrick, This would be a DSCR loan.

However, the ex wife name remains on the loan itself.

Since the original loan was apparently for a primary residence an LLC could never qualify because it isn't a person who would owner occupy the property. 2.