On the other hand, if you're aiming for long-term rental properties, getting prequalified with a lender specializing in traditional loans or DSCR (Debt Service Coverage Ratio) loans is key.

This strategy can generate higher returns than traditional rentals, but it does come with increased management requirements and potentially more volatility.

The benefit is significantly less red tape compared to working with your traditional local banks who also do new construction financing.

Hard money loans typically have higher interest rates and shorter repayment terms than traditional mortgages.

@Jay Hinrichs exactly the risk is even more than traditional development and the profit is actually less with more operational headaches.

Reason why is because FDIC Bankers "Do Not" charge points on traditional programs like primary homes, standard investment purchase and refinance, Second home/vacation homes.Lenders, Brokers all charge points to meet their Loan officer compensation plan (commission).

I talked to my lender contact and, as Kerry mentioned above, it's pretty uncommon that a traditional lender would offer a HELOC product on an investment property (non-primary home). 

That level of diligence isn't possible with human effort or even traditional data processing techniques.I would like to expand to investors in the future but this technology is very new. got it also commerical Brokers I suspect would be a target for you.. 

So if, for whatever reason, laws change and you can't rent it out on Airbnb, etc, it still cash flows if you need to rent it out to a traditional long-term tenant. 

@Stanley Nguyen You can have an SDIRA despite having a 401k through your employer - it works just like a Traditional or Roth IRA.If you have SE income, you can have a Solo 401k, too, but you are subject to the annual contribution limits across both plans - your Solo 401k and your 401k through your employer.