., Purchase Price: $475,000 ($197.9/sq. ft.).Estimated Market Value: $402,000 ($168/sq. ft.).Financing Terms: 2% interest rate, with a 9-year balloon.Unit B Income: $2,049/month (Section 8 tenant through November 2025).Unit A Income Potential: Similar rent or higher; Section 8 cap for the area is $3,234/month.Monthly Loan Payment (P+I): $1,386.Cash Flow Breakdown (if both units are rented at $2,049/month):Gross Rent: $4,098/month.Vacancy (10%): $410/month.Operating Expenses (37.3%): $1,376/month.Net Cash Flow: $943/month.Key QuestionsWould you be comfortable paying an 18% premium for financing at 2%, especially in a market where current mortgage rates are closer to 7%?

For this report I used an FHA loan for example, so 3.5% of the purchase price.

So this program is between the property mgmt company and us, mostly. 

The most important thing is to ensure your loan is covered in the event of a loss.  

If you are going to be an owner-occupant, want a low down payment, and are planning to do a renovation, the FHA 203k and Fannie May Homestyle loans are your best optionsHow do you know the property is currently upside down on the mortgage? 

I'm a investor, flipper and property management company owner who specializes in central CT.  

Plus macroeconomics here in Columbus is booming right now because of developments from Intel, Meta, Amazon, Honda, and lots of major companies building out here.

It comes down to how each county handles property tax valuation.To put it in generic terms - a title company & lender will base your initial mortgage payment on the property taxes of the previous owner.  

We financed this deal using a residential VA Loan.

you can use a DSCR loan if your DTI is too high for conventional.