Whenever I speak to a group of students interested in real estate, I always stress the importance of networking and simply asking people to coffee.

In San Jose I think that lowers the school fees cost/taxes etc.

When your rehab is done, hopefully those rates are lower!

If the answer to both added questions would be "yes", then you have a potential goldmine here.Combining the seller's concerns, and the reality of a big down payment being a negative to the seller (see Q: 1), you should be able to set the terms, with a lower DP, and controlled interest rate, to have this property CF and,...be able to sell the package to another REI down the road,...as long as you buy this using an LLC (a new one). 

As for a downward shift you can always lower your rate (underwrite a worst, middle and best case scenario), Make sure your rental stands out from the crowd (easy to do in Hawaii since most owners don't reinvest in their property).  

But look out, lower cost management companies make it back through add-on fees, so scrutinize that agreement carefully. 

If you’re planning on buying your new primary nearby, it will make being a first-time landlord much less stress inducing.

(I’d prefer you found a way to put down 20% and save the PMI as well as lower mortgage origination costs and on going interest costs.

However, if you have a reason to refinance (lower rate, more cash out) then it would be a much safer bet to get a DSCR loan and refinance into your LLC.

Then I submitted a lower offer of the same ratio as before.