The pre approval letter says that I only qualify for $350k.

There's a reason that people will send 5,000 yellow letters a month out, it beats the heck out of banging on 5,000 doors or calling 5,000 owners in different states that own in one area.  

@Joel Katzen    I experienced the same at another crowdfunding site (I dare not mention the name - I've seen the recriminations and accusations that recklessly fly here when suspicious minds over-ruminate.)They sent me a reduced balloon payment which, when added with the interest i'd already received, totaled exactly the amount i'd originally invested.   

I then compiled a list of properties I will hand-write letters to explain I want to buy the duplex and house-hack (I won't use the verbage house-hack).

It also, by the way, represents a risk with commerical mortgages that are often 5-7 year fixed rate terms with a balloon payment.

For any property on the MLS most agents are going to want to see one of two things from the buyer:  Proof of Funds (i.e. a printout of a bank statement with your name on it and a balance at or above the offer price) if it's going to be a cash offer; OR a pre-approval letter from a lender if it's going to be a financed offer. 

What Market Are You In : DallasHow Long Have You been Sending Mail : About 1 yrHow Many Pieces per Month: 2,000Yellow Letter/Postcard/Other: Similar to a letterList Criteria: Driving for Dollars List / Absentee over 40 w/50% equityList Source: List SourceDeals per Month from DM: .33Average Gross Profit per Deal : $12,500Thanks Everyone!!!

Why did you send me this letter? 

Loan (~125k @ 6% with a balloon payment at 10 years).  

They are adjustable rates and balloon after 10 years.