The generally equates to a tiny 3 bed 1 bath home that is in need of renovation, and either no basement or unfinished.

How much of a credit do they offer at closing to cover the servicing fee?

You may have to do this several times for all the different tasks being done.The only labor cost not covered by this type of online inquiry is drive time from the businessto the property, to the store & back for supplies and then back to the business address.

A nicely done fully renovated home here is around 1.1-1.3m; this home is a 3 bed 2 bath 1300+/- sqft with a lot of 5500+/- sqft.

This should be able to help out your DTI assuming 75% of the market rents can fully cover the monthly debt. 

Hey Daniel,With that $500K HELOC, you’re in a great position to leverage it for a multifamily property, especially if you can find a deal where the rental income covers your debt payments and builds equity over time.

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

Personally, I bought a 3 bed single family home soon after starting my job and had two friends from college rent which covered my mortgage plus a little extra.

You already have this covered.2.  

It can still qualify if it's a fixer-upper, as long as the rental income from the property can cover the debt service.