Purchase price: $302,500 Cash invested: $5,000 Utilized VA Loan for a House Hack for my first Rental Property.

If I was to purchase the property from her without realtors involved on either side how would I do so?  

I'm thinking I can get a nice purchase price if I under cut the banks by 1% and offer 15% required down as opposed to the traditional 20%.

Since purchasing the home, housing market in my area has declined about 20%.

As long as you purchase at least as much as your net sale. 

Why do you think purchase contracts are so long and have such small print?

So, make sure YOU understand the copy & paste info below:Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

In this case my plan is to use a HELOC on my primary residence to purchase the property in Puerto Rico.

Three out of my first five purchases were from the MLS.

I am assuming that even if you strucutred it with a higher purchase price (85% of value) and pre-paid rent it would potentially still be frowned upon.