Hi Julian, DSCR loans are underwritten off of appraisal rent schedule and / or lease associated with subject property. 

I would also point out that the idea of Cash flow is very subjective, if you buy something in cash, yes it will cash flow, but it will be a very low ROI.

Hey Cole, DSCR is based off the cash flow of the subject property 

I don't know that I'm necessarily the right person to listen to (it's in the eye of the beholder) but I'm just commenting of subjects I know, I try to give comprehensive unbiased answers whenever possible and I'm trying yo help.

When you enter the address of a property and the number of bedrooms and baths, Rentometer calculates the rent by multiplying the average area $/SF by the square footage of the subject property.For example, if the average $/SF for 3-bedroom homes in an area is $1.10/SF, and the subject property has an area of 1,500 SF, then the estimated rent would be:1,500 SF x $1.10/SF = $1,650/MoThe problem is that Rentometer, et. al., does not take into account the specifics of a property.Property Specific ExamplesProximity to nuisances - Property A, which is located next to Interstate 15, will have a lower rental price compared to Property B, even if the physical attributes of the properties are the same.

Are buying notes the same as subject to deals?

I just want to make sure this is not considered a condo and subject to the warrantable rules when I want to sell.  

Several different scenarios available: 1. subject is free and clear and the seller actually transfers the deed to your name and records a promissory note.

If anyone would like more information let me know specific questions, I think I could explain most anything about this subject. 

@Patrick Irish based on what you say, the Sec 121 Exclusion and the 1031 Exchange both seem like they'd be good options for you to defer capital gains on sale of the townhouse.Sec 121 Exclusion has 3 requirements: First, Determine whether any of the automatic disqualifications apply (acquired property through 1031 exchange in last 5 years, or subject to Expat taxes)Next, meet the ownership requirement -> you owned the home for at least 24 months (2 years) out of the last 5 years leading up to the date of sale (date of the closing)Finally, meet the residence requirement -> owned the home and used it as your residence for at least 24 months (or 730 days) of the previous 5 yearsThere is no “Wiggle Room” but there is a Sec 121 “partial exclusion” for people like you that missed the residence requirement by a few months.