A lot of lenders will only let you do it if it’s your primary residence and i’m trying to avoid that.

@Michael Upson is this for your primary residence or an investment property?

They would pay us, the management company a small non-refundable annual fee that is basically a third of their traditional deposit.

Mortgage application activity has already seen a bump as primary mortgage rates are nearing twenty month lows around 6%, FHA in the very low 5%'s (and I've even heard of 4.875%'s floating around..) with DSCR rates now in the low to mid 6%'s depending on credit profile. 

Primary mortgage rates aren't terrible currently, hovering around 6% and a quarter, depending on the borrower, so I wouldn't let this stop you from taking action.

If you have a primary residence you can get a HELOC for the down payment.

I know GPs that pull HELOCs on their primary to contribute as their skin in the game to a syndication.  

Hello,As a beginning investor, what down payment amount would you suggest if doing a traditional mortgage?  

With out of state investing you do not have the option to move into your next home as a primary residence to get a lower interest rate (it is a significant difference) and put a lower down payment (as low as 3.5-5% on a primary residence vs 10% minimum on a second home or 20% minimum on an investment property). 

i use for primary , ADU and STR as well.