The money partner will provide the money for the down payment, the repairs, the reserves in the account and the $5,000 that goes to me which is a part of my 50% of the profits.2.

This deal, i used my first successful buy and hold property and pulled a HELOC to secure financing and reserves.

And always have reserves to handle any unexpected issues.

Since you're still living in the property, you might be able to house hack and keep the lower owner-occupied tax rate—worth confirming with a local tax advisor.

Each lender can use their own methods of qualification on commercial properties, and most look mostly at the asset (with the exception of your FICO, experience level and reserves). 

We just need to verify that you have cash for the downpayment, closing cost, and up to 6 months of the mortgage payment as reserves.

Confirms my thought process as a Renovation Project Manager- turning Investor.

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 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

There are some very aggressive investors that refi into interest only products to free up even more cash in the short term - this can be much more risky though, so not recommended if you are not very experienced and have large reserves.

I should add I think it’ll cash flow only 850 a month after vacancy and reserves and expenses.