I bout one in 2019 and it has turned into a gem for me, but at the time, it would not have been 1.25 1.25x is a very common DSCR for a bank.

Should I be concerned the bank may have issues with this? 

Bank pushed us to 40% down payment so also executed a $85K seller carry-back loan to cross the finish line.

You should always talk to a mortgage broker or bank first to find how much you qualify for before starting the investor journey.

Some banks and lenders will calculate your Heloc payment based on the Max limit even if you only have a small portion used due to preventive risk. 

I financed this property using down payment funds from 403B and a local commercial bank.

As mentioned, we "openly and notoriously" record the deed for the world to see so there is no hiding things from the bank (which could be construed as fraud not to mention poses many other risks for creditor liens, etc.) 

-Local banks were the best.

I'm not an loan officer, but I know some banks locally like ORNL Credit Union have offered a 0% down conventional loan product.

You might find a local credit union or community bank that will go to 95 -100%.At one point I called 2 different VA Regional Loan Centers regarding this section in the VA lenders handbook:Assumability - The second mortgage should not restrict theVeteran’s ability to sell the property any more thanthe VA first mortgage.