In this case, your monthly payment with 20% down will have a good MARKET rate if your DTI works with a much lower month payment and no mortgage insurance(MI).

If it's a good asset(meaning primarily good location), you eat the 5.3% cap no problem you own the physical asset.

Send me a Direct Message so we can determine if we are a good fit to work together and help you flip more properties in the Houston, Texas Area.I have a straight to the point and no BS approach so you will find some values when you reach out.Thank you 

The problem with that is that now you're no longer tracking what you've paid to actual vendors, so you lose the ability to issue 1099's and know what you've paid who at the end of the year.  

Some considerations (in no particular order) are: What return on your equity are you currently getting?

You definitely can't just buy a building low down, do no work to it and keep old rents and expect to profit. 

As far as rate is concerned, you can usually go about two points over the current rate (less closing costs for a seller financed deal so there is no real expense there) You need to make sure the borrower can cover that.

Make sure the previous property management company did their job and communicated a change in management prior to you taking over--along with your contact information.If they have no done this, they should so the tenant doesn't feel like a scam may be going on.Just make sure they're away of where rent payments need to go and who they can contact in the future. 

I've asked my clients a similar question and have developed tools for them to minimize this, but I find there are a few different types of clients.Manager managed - these folks have no issues as they simply upload their year end statement from their property manager, their 1098 mortgage statement and any other one-off expenses they may have paid for outside of the management company. 

No improvements have been made, but nothing has deteriorated either.