We were trying to buy a loan that was in default and the current lender was emotionally attached and has it listed for over $2M when comps are $1.5M. 

The good news is you don't need a specialty loan for a house hack, just a traditional primary home loan.

You can easily cancel a listing, the property can sit for months because of market conditions and unrealistic expectations, buyer can fall out because of a bad loan or issues with the property.

I answered a question yesterday by saying "DSCR loans are like belly buttons...everybody's got one."

If the loan was fully funded at closing and since then the loan is in an interest-only payment period, these numbers would equal. 

So you are talking about a loan of $200K.

., the appraisal for 5+ is at least $2k-$3k) and the financing structure by lenders because Fannie/Freddie don't generally buy loans for commercial properties.So, for you personally, the biggest driver for the type of your next property is probably going to be the amount of a down payment/equity you can put in the property.

Is this using a 20% down, conventional or DSCR loan, although I would think a first time investor would use a conventional loan.

This should roughly take me to 150k per year and carry the loans for land and construction.

Stop reading if you want.2) I couldn’t guess what “There is a 6 months of grace period before interest payment begins” means.3) They call their $3555 charge a “Loan Fee,” stated a few lines up as 2%. 2% of $235,000 (loan amount) is $4470.4) Do you seriously believe the loan fee, “… IS 100% REFUNDABLE IF THERE IS ANY DEFAULT FROM THEPART OF THE LENDER OR IF THE BORROWER CHOOSES TO TERMINATE THE LOAN.”5) It’s okay to pay an appraiser directly.