I’m currently facing a similar situation and realized that I wasn’t using the right resources or consistently marketing to a single, optimized list.

If they are able to sell to a home owner, its usually the home owner who can barely qualify for an FHA mortgage, turns over extensive repair addendums because they recognize they don't have the means to handle home repairs on their own and must have the home 100% move in ready. 

I'm not an attorney, but have faced similar issues to what you are discussing.Seems like anything that includes you personally, not as a manager, officer, etc, opens you up for liability. 

@Abigail Irvine so you don't show enough income to qualify for an owner-occupied mortgage, so that leaves DSR loans on rentals as your only option.At the minimum 20% down required on DSR loans, your $20k barely gets you to a $100k purchase. 

Not only that ^^^^ but if you are converting 'Non Living space' into 'Living Space', you could face other problems down the road.

One tidbit for your specs for your new loan - the new rental income on the property you're purchasing will be counted at 75%, not at face value.

In the span of a couple years properties that were selling for $120-150 a unit are now selling for $150-200+ while rents are capped out and even then A.) won't math out and B.) are too expensive for most to afford anyways.i spend a good deal of time underwriting properties to show clients and routinely i'm looking for deals that have been on market for a couple months or longer so i can chop the purchase price by $200k and somehow get the numbers to work.

I obviously want to be careful, but at the same time, gut says I can get more than the meager comps show (both in quantity and value).Anyone out there facing this type of issue? 

In the D.C. metro area, we’ve faced similar struggles with our mini apartments.

Has anyone faced a similar situation and found a solution?