Some banks and credit unions are more flexible, especially if you have a strong financial profile.

Quote from @Jason Wray: Jessica,A lot of those moves puts your money into different properties rather than in the bank where it belongs.

Unlike traditional banks, which focus heavily on personal credit and income, portfolio lenders prioritize the cash flow of your property.

@Tim ZozI see him post a lot about infinite banking on YouTube.

My concern is that if i apply for a HELOC to use for the down payment before i apply for a mortgage, A) I wont get approved due to my DTI ratio, and B) I wont get approved without first showing the bank I have the 20% down payment before pulling the HELOC.

You are going to end up out your money on this deal as soon as the bank discovers the note holder has moved and signed an agreement with you to sell.

Quote from @Jamie Banks: @Jason Tucker Yes, you can't turn them away because of their sex but I've seen some investors who have multiple rent by the room properties "refer" someone to one unit vs. the other.

Your local credit union or bank should be able to help you with that 

You are borrowing money from a bank.

You can get the $20k from the bank day in and day out.