If so, then it could get messy.  5% down is conventional so I don't think it would show on an appraisal, in that case you could work on doing an escrow holdback i.e. the seller holds a certain $ in escrow with the title company based on the quotes you receive. 

What they do is hold a certain amount of their portfolio in liquid assets (for example public REITs).

This strategy, however, carries more risk and requires market knowledge to avoid unexpected costs or longer holding periods.If you want steady cash flow, go with the garage conversion.

I suspect because some are struggling with liquidity since  they are holding loans longer than anticipated because their borrowers are having difficulty refinancing off their books.  

You are looking at 5-20 yr holds.  

I'd form an LLC or Corp to hold the title.

On the other side of the coin, someone going through a broker or IMB to purchase an investment property, is likely going to spend significantly more than they would at a bank who holds the loan in house, because of LLPA's with Fannie/Freddie.

But the fact that you could get hold of them in such a short order and get things done is amazing.

In hindsight, I would have held on a little longer and kept holding long-term rentals.Flipping is great, but it's a job too. 

Investment Info:Single-family residence buy & hold investment in Bessemer City.