Sometimes people have enough income, BUT they have an outsized amount of debt!

With the potential for construction delays, increased renovation costs, rising interest rates on the HELOC and final refinance on the DSCR loan, being 100% leveraged in a deal feels risky.Most of the deals I have been 100% financed in have required me to dump a lot of cash into them consistently because there is no margin between debt, cost, and revenue. 

A little about me: I’m in Memphis, TN, and work with REI Nation.

I'm acquainted with a couple of local investors, but would love to connect with others in the area (or nationally/internationally) with similar experiences and strategies. 

In the meantime, expenses such as debt payments, taxes, insurance, and maintenance persist.Characteristics of a City That Enables Financial IndependenceTo maximize your chances of achieving financial independence through real estate, focus on cities exhibiting the following characteristics:Significant and Sustained Population Growth: Rental rates are driven by supply and demand.

We saved Settlement Statements from every closing and one of our former partners owned a national title company, so we had enough closing cost data to build a models for each state on the buy and sell side of the note buys.

Hey Jaycee thanks for the response.So far I've seen land at a minimum 130k, national databases estimated build costs to be anywhere from $120-200/sq ft & had a realtor supply comps for the building to be around 530-550k when finished.

@Galant Ant we're national, just sent!

For most lenders, they wanna see a 12 year lease in order to count the income to help your debt income ratio. there are not many lenders that I know of that will include short term or midterm income as part of the income side of your DTI. 

If the deal is residential 1-4 units, I'd aim for 30-year fixed-rate debt.