So if you are looking to get a conventional mortgage you will still need to disclose the debt. 

We’ll only consider additional debt when it maximizes liquidity or improves risk-adjusted returns.

At the end of one year, the cost to restore the property to livable condition was over $15,000.

A debt fund solves the passive investing issue, but brings on other risks as well. 

You treated them as part of your personal finances when you wanted to lay your hands on some money BUT want to think of resulting debt as part of the business and are frustrated that the rents aren't covering that debt.

Meanwhile, your expenses, like debt service, taxes, insurance, and maintenance, continue.Another concern with investing in disaster-prone areas is the high cost of insurance.

My debt-to-income levels, by conventional banking standards, are good but not great.

Liquidity is dry, debt is super super high on credit/auto.

The property is in a prime location, close to Old Town Clovis, Fresno State, and outdoor activities.My debt-to-income (DTI) ratio is currently at 50%, but will drop to around 38% in April when my average income increases to $144k (its already there but for loan reasons it needs 2 years of tax returns)..

According to multiple banks they can only count 75% of the income of each property which is really jacking up our Debt To Income.