I have done both Sub 2 and LO.

You are correct that interest rates won't vary much, and having a LO you trust to give you honest and accurate information is the most important criteria.

Has anyone done a LO on a house with no or negative equity (under water)?

In this "sellers market" I'm having difficulty finding property owners willing to do LO's.

(lease option assignment)LO from seller with ability to sub lease for 5 - 7 years and buy from seller for future loan balance and resell it for appraisal to tenant buyer.

@Vinod Dasani yeah I switched to L/O or subject to when she told it was listed and I saw some comps.

Angdronell Durant just add "get preapproved by lender in front of step one to understand max purchase power.

Once you have your score and your LO will discuss all the options you can always shop with  provided credit score.

If it's a DTI issue and you feel confident that your LO is calculating it correctly, FHA may be the only option on the table.

As far as price range, we've LO's up to $600k but our meat and potatoes is $180-$325kI prefer NOT to do lower priced houses, as I spend 10 times the energy adn time of less of a payday, plus the buyers are less qualified for our program.