We haven’t modified rent and the tenants were placed using a state program to make them financially responsible, which has worked out minus the claims of home invasion. 

I think if you are doing a DSCR loan it will be more expensive but rates should be the same, unless you are using a special program?

I would ask them how they run their rehab program and you can gauge your comfort level with that. 

In the process, I would either lose this potential tenant and yet would have gone thru the process esp. when I wanted to avoid getting engaged with the city Like someone's comment elsewhere - the tenants who come thru this program are not well earning, so what is the probability they will 1) stay longer& not have to be evicted and or 2) the payments in time/ partial 3) will they trash the place

If a mortgage program doesn't change their rules, the difference is negligible, starting mortgage balance would be $87.3.

I've been looking at different programs, mostly through the government for areas that I'm interested in investing in, but have not really came across anything that I would be a candidate for.

Even though HELOC are higher than cash out refinances, but it gives investors the flexibility to draw their funds and not having to pay the full balances within x years, depending on the loan program and draw periods.

Unless you are a veteran or using a DPA program all loan products require some skin in the game (down payment) and that is how most people start their portfolios. 

You can take courses such as the CCIM program to become an expect in running the numbers on deals if that is your goal, but you could also leverage others that are already experts in your preferred asset class to do the due diligence for you.

Buy a 2-4 unit Multiunit using Fannie Mae new program of 5% down program which starts this week.