I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23DSCR lenders generally let you vest either individually or as an LLC.

Out of curiosity, what would you offer to make it more appealing if I did decide to offer with the financing contingency included?

After the tenant moves out, we send someone to inspect the property for any damages, including furnishings like a broken vase.

The loans are fixed rate programs, and the additional renovation financing is included into the one loan.

I am doing this now and included Seller's transfer tax.

You would have to line up carriers that accept LLCs on non-owner-occupied dwelling coverage.

Market conditions also play a role, including the availability of contractors, appraisers, and lenders.

I would keep and organize all of your communication around this issue, including gathering pictures of the unit and the area in question that was repaired.

This could free up more cash flow to reinvest in your deals.But here’s where it gets interesting: making the transition to an S-Corp can require a more organized financial structure, which includes separating your accounts, keeping clean records, and being prepared to pay yourself a reasonable salary as the business owner.

They often offer coaching programs that can guide you through the fix-and-flip process, including how to properly assess properties during walkthroughs.