If its the former, then you'll have learned an expensive lesson that tenants need to have skin in the game in the form of a deposit to ensure you get your property back in good condition following move-out.

They have more skin in the game then you do.Make sure you get clear title.

Sometimes the sheer irritation factor of having a bank "up in your bidness" is worth paying off debt. 

From what he td me he wants a significant portion down like 25 to 30 percent to have some skin in the deal, and charge 6 percent for two years.

The Buyer still has skin-in-the-game and the 1st mortgage holder is still in first position with the same risk that they normally would have on the property.Any help would be greatly appreciated...Thanks...

Gina,  buy houses with OPM, = hard money , and finding an investor, family  member with money, and you provide the know how.I flip with my own money, and then I use my Investors money to aquire a property,  I use my money for rehab,  to have some skin in the game, we split profit 50%.Not sure why,  you are even considering paying  $1200 with your experience,  and reluctance to name the group.I wish good luck!

As you're finding out, most, if not all, lenders will want you to have some kind of "skin in the game" so to speak.  

And, it frequently means that the borrower does not have skin in the game, which increases the likelihood that the borrower would abandon the deal, leaving a half completed rehab.  

Must be from doctor with in person exam.Doctors are less likely to risk their reputation and license with bogus diagnoses, unlike these online ESA outfits which have no risk/liability/skin in the game.The ESA barrier to entry is too low right now.We need a way to push back against these fake ESA websites.

What you're really asking is people with high levels of resources to trust you with their retirement, their assets, and their peace of mind, all while you have no skin in the game and are younger and less experienced then them.