The math behind Real Estate is not that complicated, Revenue - expenses and debt service = cash flow. 

The 2-3% points in extra cost are worth it if you plan on using as I described above because the use would be for a few  months at most and due to that short term use you can survive a rate adjustment up.But, if you have no plan to payoff the debt like when using for a down payment on a long term hold why pay the extra cost for flexibility and have the additional risk of the adjustable rate with the amortization looming when you can get a fixed rate second mortgage. 

Some people only want 10-20% of their outstanding lines/debt balances available while the other 80-90% to be in fixed rate notes.

We have no debt and good credit scores, do we have any options for making this work?

The property jumped another 100k less than a year after the sell as well as rents went up to support what would have been the new monthly debt if I refinanced and held. 

Eliminate debt, establish a budget, and save.

The name (former tenant) looked familiar and sure enough when we looked at the credit report there was the debt from us from 2023. 1.

Clearly the note is more than just evidence of a debt, right?

Also, how do I protect my assets if I use a solo k for a down payment but still need debt financing to purchase a property? 

I can buy a 2-4 unit with 20% down vs conventional can only buy a 2-4 INVESTMENT property with 25% down 4. there are options where DSCR loans dont repot to personal credit, helps in not having to show a bunch of paperwork or not one person in a partnership has to carry the debt5. way less paperwork to close on this loan type vs a conventional loan. we care about the income of the property you're buying and it's ability to service the debt of the property whether we use long term rents income, lease income, or air dna/bnb income.6. easily buy in partnerships, add people to your operating agreement, its as easy as that so bring partners into a deal. helps with scaling and raising capital or getting partners involved7. gift funds allowed to close on these as well, and like I said earlier, there's only a 10day seasoning period of funds with some lenders so that means you can literally have a private money lender deposit money into your account 11 days before closing, and you can use those funds to close!