If they are legit and you don’t have any other offers then I’d have the conversation with them but I’d want a higher than normal down payment (ideally 50% or at least more than the normal 20%), a higher than normal interest rate (at least a point above the prevailing rate so like 9-10% right now, but you can structure it as interest-only payments so their monthly payment is still lower than conventional), amortized over 30 but with a balloon in 3-5 years, something like that.

The feeling of waking up and not owing money to the bank is an amazing feeling.

.- The Yield Curve will begin to normalize (uninverting): Even as the Federal Funds Rate begins to drop, the yield curve will finally begin it's march towards normalization.

We normally ask for a downpayment whenever we sign a contract for a remodel. 

I enjoy finding creative ways to monetize normally overlooked spaces at my rental properties. 

. --- My current projected invested amount is ~100k for the year where the Passive income received is ~15k which gives me a Cash on Cash of 15% This is my first year and I've been told this is higher than normal CoC.

They are normally my quietest tenants. 

I chose Phoenix because it's close the areas I normally post up and has strong fundamentals, and I have built up come community here over the years.

Normally I would say absolutely, looking at the above chart.

DSCR loans carry Prepayment Penalties, so unless you are comfortable staying in a 9%+ rate for 5 years, I would suggest just going with a normal 20% down DSCR.