I am both the principal and the agent.

I strongly believe that with time, as you build equity (thru principal pay down) and appreciation, that value will far outweigh the amount that you are “in the red" by your househack not being able to cover the entire PITI cost.And if you have a good househack, your housing costs should be lower than what you would be paying for rent

That means when we sold or refinanced the property, the investor would get their principal back plus interest.One important thing to note: I only paid interest for the time that I had the loan.

Listening to one of Brandon Turner's books and he mentions this (https://www.biggerpockets.com/blog/plan-to-make-a-million)My question is how do you calculate your loan paydown for the principal and how much equity you've built up?

But in spite of the handful of drawbacks, the software is so good at its core functionality - bookkeeping and accounting for real estate - that there's simply no reason to use anything else. 

"UPB" stands for 'unpaid principal balance' which refers to the outstanding principal still due on the loan. 

Have any of the principals lost money in other deals? 

Hi Duane,That will definitely affect your DSCR as you'll be paying interest and amortizing the principal on the loan.

I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

The fastest and cheapest cost segregation is through DIY software, but it has significant drawbacks:  https://www.biggerpockets.com/forums/51/topics/1136752-expla...Some areas (like mine) have extended deadline beyond Oct 15th.