Sometimes a BPO does not get us comfortable enough with a property and a full appraisal may be required dependingon project size and other factors.

should it be interest only3. what fees should i charge4. if i am using a loan servicing company how do i factor in the fees?

That played one factor in it.

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).

Municipally law, rents, and appreciation all factor in to the things that make up a market.  

You would need to factor in the cost of the conversion as that would likely create a loss, then we would need to know your depreciation schedule.

The rate that you are at right now is, I would expect, the main factor limiting cashflow.  

Lesson learned that location is always no.1 factor and quality of renovation is the momentum of it and those two the most profitable combination.

Given your plans to use VA loans for multiple properties, it’s important to consider a few key factors when deciding on your next purchase.Since you’re already using a VA loan for the 2300 sqft home, it’s understandable to think about the size of your future properties.

By the time it gets there, the foundation is completely exposed.