Told him that I was not the guy for that because I needed to one day OWN real estate so attacking principal is a day one necessity. 

See example below: DSCR < 1 Principal + Interest = $1,700  Taxes = $350 Insurance = $100 Association Dues = $50  Total PITIA = $2200  Rent = $2000  DSCR = Rent/PITIA = 2000/2200 = 0.91  Since the DSCR is 0.91, we know the expenses are greater than the income of the property. 

A monthly savings of $527 that goes into your pocket.Plus, since the seller has already been paying for a couple of years, the principal has been paid down $15,000.So, you are “in” for about $15,000 and have all of these great benefits.

According to the Consumer Finance Protection Bureau...Is my PMI automatically canceled once my principal balance is 78 percent of the home’s original value?

I use a version of the 50% rule as a quick but reliable measure of expenses on a single-family: you can reasonably expect all monthly expenses not related to the  principal+interest of the loan on a property OVER THE LONG HAUL to be 50% of monthly gross income.I also think she's just calculating that PITI expenses are pushing her down to - $120 a month.

Run your COC with Principal and Interest, since you're looking at this from a long-term standpoint.c. 

Smith, RA - Principal Architect at Architect Owl PLLC (Licensed in NY & CT)

With the new Business Owner/Investor continues to pay the Mortgage with a service company so payments Principal and Interest go to the Bank as scheduled per the original MortageHow can the new buyer do a wrap (#subject to) with the #first #lien for the underlying mortgage where as the Seller equity is in the second position?

If the cashflow is low, you likely will be barely covering the interest on that HELOC, much less the principal.

Yes, you'll be paying mostly interest rather than principal paydown starting out with the FHA loan hence the better play for you on paper but maybe not on the monthly.It's not too risky so long as you pick your market(s) and do your numbers right.