However, to get a bank loan you would need to have a debt service coverage ratio of about 1.2 (i.e. your income after expenses is 1.2 times the cost of mortgage payments).

You can advertise no pets which will eliminate most people and just deal with the few that do reach out. 

Orginially I was evaluating deals and account for tithes, but after expenses, debt service, and reserves.

I've also read conflicting advice on valuing a buyout amount, if you take the net proceeds of a sale and split it in half or if you pay half of the appraised value minus the mortgage debt. 

I am currently paying off all my debt to allocate money into the rehab.

I always think installment loans (like hard money) is better than revolving credit debt.

Took out a bit more debt than I should have because my rev projections were a bit too high (at least for year 1). 

You receive the piti from your buyer and you then pay the underlying debt with that payment.

The Note is the debt (evidence of it, technically).

If you are going to lock in that debt and let it sit, it's not wise.