Here are some benefits for Home Possible:  Reduced Mortgage InsuranceLow Down Payments: LTV of 97% on 1 unit & 95% on 2-4 units within standard conforming limits.LTV of 95% 1 unit, 2 unit -85%, 3-4 units 80% for super conforming.No income limit area's can be looked up on Freddie Mac’s website; Freddie Mac Home Possible Eligibility

If you are trying to go conventional, it's not a lender guideline, it's a Fannie Mae guideline, so unless you are going for a portfolio or non conforming loan, there is no negotiation.

Many two flats in the city have amazing garden units that to everyone  else looks legal, but in reality are non conforming.   

Also, most people fet tripped up with having to pay for commercial lending since legal entities are not eligible for conforming residential loans.

Hard money loans are more appropriate if the property is not livable (with conforming loans the house has to functional, although still a mess), or you are a more seasoned investor and it fits in your business plan.Hope that helps. 

Hi @Jordan Fitzsimmons - Your typical loan cap is going to be the conforming loan limit ($586,500 in Dickson County).

Does the zoning conform to the potential new STR changes? 

Do I need to get some kind of conformation from them?

If you have solid tenants and the price you are paying conforms to the market, I would not hesitate to purchase in Buffalo or Erie. 

Now that you understand my dependable passive income process steps (location > tenant pool > property), I will list my "hard pass" items.My hard pass items fall into the following categories:Desirability to your target tenant poolTo attract your target tenant pool, the property must meet a minimum set of tenant pool specific requirements.Type: Condo, high rise, single-family, etc.Configuration: For example, 2,000SF, two bedrooms, three-car garage, large back yard, single-story, two stories, etc.Location: Where the target tenant pool wants to live.Rent range: Usually about 1/3 of the median gross monthly household income for your target tenant pool segment.Any property that does not conform to all 4 of the above is eliminated from further consideration.