This might be typical in your market, but it’s worth confirming to avoid unexpected costs.

If It is a wholesale DSCR lender that also does TRID loans, they might require a bit more paperwork, such as a VOM, mortgage statements for properties currently owned, and credit supplements on mortgages on your credit report.

Most of our Members are baffled, typically saying: "How could they allow one of THEIR Tenants to be even ONE month behind?"

@David F.As Russell mentioned co-ops are probably 1/2 the price of a condo and you would also have extensive costs to set up a co-op and typically it’s my understanding the builder funds the first 1-2 years of reserves.

Hopefully your accountant did not file an 8824 reporting the 1031 exchange. 

You can typically change the way the entity works - may or may not make a tax difference, but you're only 6 months in so I imagine you're showing a paper loss anyways? 

For example, State Farm typically requires the latest inspection report for underwriting on multi-family properties that are over 30 years old.

Even the best property management companies (PMC) struggle with:- Finding reliable handyman and contractors (ServiceTechs)- Same with affordable ones- Tracking preventive maintenance- Tracking previous work for potential reoccurrence warranty coverage- Understanding tenant reported problems, so the correct ServiceTech can be dispatched- Determining if tenant is at fault for an issue & should be charged - and will proof stand up in court?

Similarly, a credit report fee upfront is reasonable, but these can often be avoided as well.

What I see is typically in the $3k - $6k range for those types of properties.