Your first deal might need to be a house hack in order to use the FHA loan, but you will be surprised how quickly a year goes by, which is the FHA requirement for occupying the home.Lastly, if you find yourself having trouble getting anyone to give you a credit card or loan, consider a pre-paid credit card. 

You can easily spend over 10k on buying points, which make your closing costs an upward of 15+k, not including your prepaids and escrows.

@Jason Ricardo salgado I wish I had known that guests could pay using prepaid Visa cards.

My tenant died and has three months of prepaid rent.

Subtract what you currently owe from the loan amount so for an investment property 97,500 - 85000 = 12,500 and for a primary residence 104,000- 85000 = 19000 and then subtract closing costs/prepaid expenses from that. 

Prepaids$1,651Homeowner's Insurance Premium (12 months)$1,200Mortgage Insurance Premium (months)Prepaid Interest ($15.0462 per day for 30 days @3.625 %)$451Property Taxes (months) G.

You could take out a loan up to 75% of the value of the investment property so .75 x 200,000 = 150K loan amount - 110K to pay off old loan - 7K for closing costs/prepaids/points = 33K cash back to you.

It is easier to compare closing costs when pre-paids are ignored. 

@Rachel OdumuYour estimated closing costs are mostly variable because they include items such as lender fees (origination, processing, underwriting), title fees, attorney fees, recording fees, prepaid property taxes, prepaid interest, prepaid home insurance, etc.

So closing costs all in (outside of prepaids) on a $40k net cash out to me loan would have to be below $2800.