However, you cannot just rely on StayFi.

Creating a positive rental experience in a college town where quality can vary widely is a great mission. 

If you demolished inside and they see it you cannot get a standard HELOC you will need to go hard money as most lenders are going to tell you that any worker who stepped on the site can lien the property and HELOC's do not use a new full title report, they rely on the title report of the last sale (again like I started with if people DIY record after closing it's a problem). 

I know there are some horror stories out there but these stories can vary depending on how the investor/landlord handles the process.

However, finding these deals can be quite challenging if you are new to this market, as it varies street by street.

It's about researching and networking effectively but most importantly, building relationships with local experts like property managers, contractors, and real estate agents.The BRRRR strategy can be profitable but it relies heavily on trustworthy partners.

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).

Would the minimum interest they need to pay to the IRS vary year to year with the AFR or would it be fixed at the 2020 AFR in this example?

I am not advocating closing before you see it but taking it off the market and then relying on your boots on the ground, skin in the game partner, to help with the due diligence

It can vary from bank to bank and property to property, but you may be able to find one that allows for repairs.