So is this just as simple as showing how much the property makes or do they also look at personal debt to income, credit score, reserves etc as well.

Its a bad sign. 

I have seen all sides of this equation, self managing my own properties locally, but moved with the Navy 1000 miles away and managed the same rentals from afar, and had friends here in Memphis that had 18 properties and had them all with PMs with varying levels of success, some bad and some great.Self-managing brings about an additional level of responsibility that most of the time is fine, but that is not what you hire a PM for.

Instead of paying a percentage (load) of the total investment, they accept a reasonable fee for their services and credited the load back into my DST investment.

I would suggest looking at commercial banks or credit unions in the area to see if this is available. 

If you tie the bonus to early renewals, a bad employee will renew bad tenants just to earn a quick buck.

If the inspection reveals a bigger problem, either you can try to keep the deal alive by offering a seller credit, which could motivate the buyer to move forward, or the buyer walks away. 

Is the line of credit different from refinancing the home that is free and clear? 

@Chris Morris have ALWAYS seen bad "deals" from rookie wholesalers that really don't understand what they are doing to provide value to the industry.It's getting worse because the real estate market has recovered from the 2010 Crash, yet many are still using tactics & methods developed during this time.Everyone in the industry needs to go back and look at what was being done BEFORE 2010 and start using those methods, updating them with current technology.

Do yourself a big favor and ask the bank/lender up front and please make sure that your loan officer or banker is well versed and either knows their guide lines or gets an approval from their credit committee in advance.If you have any questions feel free to reach out or send me an email I have had this come up a few times in the past.