The reason being is they can quote you a low rate (too good to be true usually) and then half way through the process or even worst at closing the rate is subject to what it is that day and then they excuse themselves because the borrower never asked for a rate lock or were never aware of what a rate lock is.If you have any more questions I am happy to help.

Most lenders will not allow a subordinate lender without some skin in the game (at least 10% down from the borrower). 

But there is virtually nothing for a fix and flip type borrower or a BRRR method borrower.  

Mortgage rates declined to their lowest levels in over a year, a sample of more than a dozen industry professionals said they were quoting most borrowers in the high 5% to low 6% range on government loans and in the mid-6% range for conventional mortgages.

I believe that the cost of every legal hoop you make the Trustee jump through to complete the foreclosure will be added into the amount owed and will reduce any possible overage from the sale of the property.In addition, unless there is a fatal defect in the deed of trust, the sale is going to go through and a request for a TRO (which I doubt would be granted) or filing Bk (which I'm not sure would stop the sale since you're not the borrower, have no liability for the debt, your interest arose after the foreclosure began and you had knowledge of the 1st DOT's foreclosure) will not stop it. 

I can borrow $100k of it to add as additional down $ and I'm pretty sure a 401k loan won't show against my DTI, but then it will show as less assets (unless a 401k doesn't get really factored into everything since it's usually unaccessible). 

And yes, attorneys make money from forming LLCs, but they make way more when you were negligent and didn’t know what you didn’t know and end up in a lawsuit.All this being said, LLCs confuse lenders because they don't understand that most of the time they are disregarded entities (for tax purposes) and rather than try to go another level to understand what the borrower is doing, they just outright give unfavorable lending terms. 

The borrower is coming in with only 10% of the down payment and closing fees which are typically of any loan. 

Hi Carlo,Interest rates for DSCR loans can vary based on several factors such as property location, borrower's credit profile, and current market conditions.

@Seo Hui Hanthat's just the BRRRR strategy, and using borrowed money for the buy.it's just about risk.low risk: buying with actual cash, from your own checking account.