Will having that home on our credit negate us from being able to seek additional loans for other properties? 

Only asked that since you mentioned out of state.If so, credit score 700 plus, you will be 20% down on 1 to 4 unit purchases on the DSCR side.

You’ll need to provide documentation such as income verification, credit history, and possibly a property appraisal.

Plus reducing capital gains You want the seller to extend multi-year credit for tens of thousands of dollars to someone whom professional lenders won't touch.

A cash-out refinance can reduce your credit utilization and improve your credit score.

For some context, the current payment is 30-31% of our gross income, we both have 780+ credit scores, no other debt besides this mortgage.

You could negotiate with the seller to provide a credit towards your closing costs or reduce the purchase price.

I’m trying to work with a seller who deals in off-market properties, but they only accept cash or an “unrestricted line of credit” for payment.I have about $200k in liquid funds and want to invest it all, but I'm running into challenges with payment methods.

Also, if you have limited or no history of rental income, you'll have to get an appraisal on the departing home to document you have at least 25% equity in the home.

Verifying last 2 years of rental history very important!