Did you purchase this property all cash? 

Similarly, if you put several Class D tenants in a Class A 4-plex, what do you think will happen to the property?

Unless your team can put in 10% of the total money raised, you will have trouble obtaining financing. 

Don't be so quick to indebt your paid off townhome until your learn creative financing and review all your options.

He will be taking out the loan, and I will be financing it.

Inherently the steps are the same as if you were purchasing with financing save potentially less closing costs and ability to close sooner (if needed).The terms of your offer (ie -contingencies, closing cost splits etc) will determine what is different. 

I currently use Gold Key Property Management in Anderson IN, and have been very happy with there services.

If someone offered to finance this house to you at your current rates if you put down $250k would you do it?

The only two ways to rectify this are (1) purchase the property far below market price or (2) significantly increase the property net income usually through some method of “repositioning”. 

I knew it was time to dive into my next property.