Since you will be renting it out you should get a conventional loan.

These are the key to getting a loan.  

It’s unfortunate as their loan officer was stellar.

So it's a loan....You just detailed a loan. 

I've also used traditional loans through regional banks and a few SBA loans. 

Too bad I was 12 years old and couldnt take out a loan lol not sure how to take this

Once you’ve built capital, transition to small multifamily units using DSCR loans for steady cash flow.If you need help analyzing deals or securing funding, let me know.

If they have a good interest rate it might be worth looking to see if you could assume their loan to take advantage of the lower rate.  

Your interest rate, on a fixed rate loan, should remain unchanged and your mortgage should not be called due.However you should still confirm that this is the case with your lender (and read your mortgage commitment) out of an abundance of caution and because some loans and programs do require a longer seasoning period.

Is it because the loan you assume after a cash-out refinance is more likely to be higher than your gross cash flow?