Not necessarily actually, I was able to get a $30k BCC without an LLC.

Or is that actual so you have the ability to add more to the bottom line? 

Depends on the actual deal I have seen 85/15 rarely 90/10 but keep in mind your primary home will have a second lien on it typically if your LTV is over 75%. 

In this case, would he actually need to pay any money for the down payment, or does it basically cancel out in the debit/credit line items?

Since you're open to markets beyond NYC, you might want to connect with local investor meetups or REI groups in those areas to build relationships with agents, wholesalers, and lenders who understand the nuances of each market.If you're looking to break out of analysis paralysis, maybe start by narrowing down one or two target markets and running numbers on actual deals.

Once the loan matures, the interest rate could go even higher and you can actually start losing equity in the deal.

Dismissed, actually more like Marxism!

So this would actually work against the intended purpose. 

Im currently in the process of getting it rolled into an actual mortgage since these are rentals.

Actually, their MHP bootcamp was one of the first things I did when I got into the space.