This crude method ignores all the other debt payments tenants have.

If we do a sale, usually we'll pay off a bunch of debt or if our debt is getting high and we don't want to sell, we'll re-fi a property when our interest rate is about to reset anyway and pay everything off.

I have access to deals with no debt that provide monthly distributions. 

One of the things I love about being a CRE investors is when the 1st of the month comes and my tenants pay down debt for me.

For the home loan, if assuming it isn’t an option with your current income, you might consider using some of the cabin sale proceeds as reserves or paying down debt to improve your financial standing.

Amassing a lot of debt and being only able to make lateral moves if I sell is certainly a huge concern of mine. 

but if you have $0 in savings, thousands of dollars in credit card debt, and have never set foot inside an actual house for sale, you have no business paying for coaching, or buying houses. 

The appraiser will do a 1007 to determine the market rent and the lender will use that figure to calculate the Debt Service Coverage Ratio.

I have been with Fundrise since late 2017 but all Real Estate equity (~75%) and debt (~25%) with a fairly small investment that, according to their calculations, has returned gross ~7.5%pa (growth + dividends) over that 7 year period.So the above is not bad based on general risky asset long term annual returns, but the S&P 500 has returned (growth+ dividends reinvested) ~14.3% pa over that same period (source: using https://ofdollarsanddata.com/sp500-calculator/).

It depends on what your debt-to-income ratio is and what you can qualify for.