Given you and your investor both have experience in different areas, I’d say keep a flexible approach and compare city requirements before putting too much money down.

2) Subsidizing rents:- S8 and other programs statisitically only train tenants how to be dependent on the free handouts.If you really want to make a difference, try basic financial education for tenants and the financial demographic they come from!

It could be 50% high, 50% low or right on the money but no matter which of those three it is makes no difference.

Just like the asking price, just because the owner suggests one interest rate or term doesn't mean you can't offer something different. 

Your diligence can make all the difference in ensuring safe and successful investments.

I started and did it differently.

However, they approach financial health from different angles.The 50% Rule is a quick estimate that suggests operating expenses (excluding mortgage principal and interest) will roughly equal 50% of the property's gross income.The DSCR is a more precise calculation (Net Operating Income / Total Debt Service) that determines if a property generates enough income to cover its debt obligations.Deal example:- Class C middle class neighborhood- 4bd / 2ba single family house- ARV: 190k- Purchase: 105k- Rehab: 35k- Market rent: $1,400-1,525- Section 8: $1,475- Property manager: 10%- Taxes: 125 month- Insurance $1250 yr- HOA: $55 month- purchased and rehabbed with all cash.

I also think of property locations and property conditions having different classifications. 

I joined the Alamo REIA and the REIA has different scheduled meetings throughout the month.

In fact there are quite a few sellers who will opt to go with a different buyer solely because they don't want to deal with the perceived headaches of a VA buyer underwriting process.