I mean for me I am Real Estate broker and licensed Mortgage banker.. /  developer  .. only a developer because I have the financial ability to be one.

You should to talk to @Andrew Postell He is the best mortgage guy for this.

Probably 8%+ mortgage interest at 40% down to make a safe assumption.

I mean myself and any bank would need more details, but if you utilize that large sum as a downpayment and have a small mortgage, wouldn't you easily qualify for the debt to income?

Hey Frank, not sure who you're replying to but I want to emphasize based on what you said pretty much EVERY mortgage broker should have 10-20 options of lenders who can do this.

Less than 10 minutes and they are done.Self Managed, Low Volume - these folks collect the same rent every month, have minimal expenses beyond their mortgage and find it very easy to collect the few documents they have to report it. 

All LP equity gone.Even before interest rates took a huge jump: property bought with 75% LTV first mortgage, pref equity up to 90% LTV, and funded last with LP equity.  

So you might as well be a head of the game do the cash out refinance buy the next 1-2 properties and simply refinance the original mortgage as a "rate and term" which carries a lower rate.

Using a heloc as 1st mortgage really only has a major benefit if you have idol cash sitting around from your paychecks. 

They also could have a mortgage that could not be satisfied by the price and in that instance, again the bank would not release it - so again stuck.