The example scenario would be if I bought a $1M property, the bank is in first position and covers 800k of the property cost, the seller agrees to cover cost of down payment and covers 200k of the property cost.Let's say we can no longer make payments on the property and it's foreclosed on.

Rent by the room gives you the opportunity to get more renters to cover the mortgage, making it easier to stabilize the asset.

Or if my landlord homeowners insurance policy will cover this?

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

I’m sure they cover AZ a well.

Depending on how much the DSCR lender will lend on, my partners and I will cover the remainder.

We many a handful of them for our clients, and the combined rental income covers their expenses.

I would always factor in PM even if you plan to manage yourself.You can still ask for a copy of the m2m lease to verify rental amount and what might be covered in that.

This approach allowed me to secure the property quickly and provided the flexibility needed to cover the costs of resolving development issues and initiating plans for the duplex construction.

This approach allowed me to secure the property quickly and provided the flexibility needed to cover the costs of resolving development issues and initiating plans for the duplex construction.