You obviously want to grow your portfolio as soon and as much as possible, but getting most of it tied up in a couple of non-CF condos could be detrimental.Honestly, I have a number of clients in Atlanta suburbs and GA, being aware of lenders that have minimum property values that they will lend to.

They would also automatically tie out with tenant's balances so you wouldn't need to update that.

(Not actively purchasing as my money is tied up in the market right now)...so with the 2 lenders i've gotten here:STR DSCR Rural (not a log cabin or other non-conforming structure) just remote sfrHybrid loan 15% down, interest only investment loan with seller paid points to get to ~8% and reduce closing costs DSCR would use long term rental rates to establish monthly DSCR and then offset monthly with average DTI and 800+ credit and high cash reserves as long as DSCR is .75+additional appraisal to establish STR rate estimates to be used alongside the standard long term rental rates5 year prepayment penalty with reasonable terms

The real numbers are more complicated because while we count mortgage payments, the reality is some of that is for interest and the rest is against the principal, so really some is going to you in the long run, but is currently tied up as an expense. 

Maybe I could alter my proposal so that they never actually have to put up the cash, but instead just earn a fee for reselling for me.With the put option, I am essentially acting more like a bank for them and freeing up capital that they now have tied up in these loans.

This becomes especially critical in the current environment where you can earn 5% on your money easily and aren't tying up cash until the project is completed.2.

So, you are tying the property up and may not close as you do not know the numbers. 

It does tie up more liquid capital.

But there are times when you run across a very good deal but have all your working capital already tied up, so you need extra capital to get in the deal.

To combine the two into a land purchase and construction loan you need to demonstrate on paper exactly what you plan to build and that the planning desk allows this without a conditional use permit/hearings/delays/neighbor complaints tying you up to wait 24 months to start.