Even mortgage lenders give favorable considerations to those that may have a bankruptcy due to events beyond the applicant's control, like divorce or medical bills.In the eyes of any regulator type, saying they must pass a credit check is not giving any qualification level to be met.

Most deals we underwrite don't pass a DSCR test of 1.25 and therefore cannot be leveraged at our typical 70-75% LTV. 

So you will have an idea what work it would take for this unit to pass a section 8 inspection.

By asking if you can wholesale it says you want to pass a contract for a fee, if your intentions are something else, you can say so as you really wouldn't be wholesaling if you are simply assisting her (which, IMO, is where your duty should be).You said she had no equity, but worth 90 minus 15 is 75 and her mortgage is 70, that's 5 k in equity, settlement costs will eat that but she has equity.How did you get your rehab costs, what is really needed, I could do a modest kitchen rehab, change out all the flooring, interior paint, and do some outside work for less than 15K.

@Mark Albano This is a definite pass as a buy and hold investment.  

Don't know if it still is or not, but used to be that it took 70% to pass and the math questions were less than 70% of the test so if you missed every single math question you could still pass ... as long as you got the other questions correct.  

Due to Congress inability to pass a budget, HUD has been operating under a continuing resolution for over the past seven years.

Sellers wouldn’t even take a FHA buyer seriously because that property has to pass a FHA inspection to get approved.Now that it is more of a buyers market depending on your local market you might be okay with FHA. 

Many people are listing properties at a discount because there is a good chance it will pass.  A

I mean c'mon, the state just tried to pass a bill taxing text messages.