That way, you keep more in reserves and have more to put towards your next house hack.

I wouldn't live anywhere except Fells Point, Canton, and Federal Hill. 

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).

How have they accounted for reserves / contingency when things don't go as planned. 

They get a chance.Quest had two kinds of 401k’s: The cheap version and one with a “Does bookkeeping and some (perhaps all) federal forms” apps.

- property values soften (keep it realistic, US real estate has never lost value over any given 10 year period in history and you can't plan for a nuclear war..)To counter-balance these negative scenarios you have: cash reserves, credit lines, W2 income, maybe business income.

While very lucrative - if you don't have enough reserves, it can really break the bank. 

So just check your local and federal laws about how you handle ESA and don't worry about "service dogs."

As others noted, there is no limit to DSCR funding other than your ability to produce enough liquidity for down payments, closing costs, and the required reserves post-closing.

Landlocked property9. former Chromium factory10.Multiple properties with multi-million Federal Tax Liens11.