So you would likely need to go business purpose like private money or DSCR financing.

I would say the biggest challenge was completing a whole house rehab and the paperwork for the 203K loan.

For a passive route, private lending or investing in syndications/REITs can offer steady returns without property management.

So I had an idea to get a loan from a Private lender for 400K (just under the asking price of the home) this house is already appraising for over the asking price but need some TLC.

Used 0% cards and found private money to pay most of the cards.* Aiming to refinance with a rate-term dropping down to about $3,500/mo, so we could live for free.

(probably the biggest key).

If you are seeking an actual private lender or direct HML  consider starting your search here: https://aaplonline.comThank you so much.

@Keegan Darby  To truly compare private lending to holding you'll want to pin down your ROI a bit more.

A minor hurdle for some, but a larger issue to some as well.With DSCR or private money lending, yes, you can still also vest in your individual names, but you will find many lenders will NOT allow it or will actually charge you higher rates to do so. 

I put my criteria clearly in the listing: 3x income over rent, 85% on-time payment history on credit report, and good references from past landlord.The biggest mistake you can make is taking the word of a current landlord.