I would think that would push my debt to income ration way high and they would not approve me (through traditional loan methods anyhow).

You have closing costs including:Title Search/InsuranceAttorney/Title Closing FeesPro-Rations of Taxes/UtilitesJunk FeesThe costs of transferring utilities, cost of home-owners insurance and other miscellaneous expenses.

And you have to know you are being pushed and act rationally and fast.

Some rational, some not.

I think the only situation in which it would be rational to not purchase insurance is if you had so much wealth that the total loss of the home would be trivial, and you also had other coverage for any liability of owning and renting it.

To rationalize and justify our way into things because we want them.

If you have the opportunity to add an additional bathroom when possible also do that they look at the room ration to bathroom ratio when renting.

Talking to him, you can see him try to rationalize choices that he's made over the years.

This is not an exclusive list of market options, but it can stimulate some new ideas.Find markets that have good rent-to-value rations (i.e. 1.0% or more).Last but not least, if you primary goal is cash-flow but you'd like some appreciation potential, then focus on growth or emerging markets.Again, I will stress to avoid "war zones".Feel free to post any other questions.Continued success!

Cap rate is ration between NOI and Capital Cost (or value of the asset)