No hard commitments but it illustrates that the market is open to such a home at such a rate.Thank you for reading this far!

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 = $350Insurance = $100Association 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 = $250Insurance = $100Association Dues = $25Total PITIA = $1875Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23Lender terms and fees vary widely.

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 = $350Insurance = $100Association 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 = $250Insurance = $100Association Dues = $25Total PITIA = $1875Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23Lender terms and fees vary widely.

Account Closed excellent illustration of what can happen if the market shifts even a little, the dangers short term/long amort debt, and the relationship between cap rates and interest rates. 

Unleash the Power of AI: How ChatGPT Can Turn Your Lackluster Property Listings into Buyer MagnetsA creative collage of a real estate agent, a stunning property at dusk, and various AI-related elements such as glowing neural networks, holographic interfaces, and futuristic automation symbols, illustrating the fusion of technology and real estate marketing in a sci-fi-inspired design.

Simple example to illustrate.

@Daniel McNulty - As I stated, it is a simple example to illustrate the concept.

Youve also illustrated exactly why the disabled will hide their service animals, because they are often the victims of illegal housing discrimination.

MI will sell above appraisal value, which can be a major problem should you ever decide to sellA great point to illustrate, point 2 under cons, is the turnkey provider I used (not MI) just sold a property (rehabbed) in memphis for 79k, with 785 rent.

. :)  The link I provided was just a quick reference I grabbed to illustrate how easy it was to find this (mis)information out there.