Being based in Austin, you’re in one of the most dynamic markets out there, which gives you a fantastic foundation to build on!

The price paid is well below what we should have paid based on number of lots/homes/ that can be built.

One said the 2nd mortgage has to be assumable and the other said it did not.VA issued Circular #26­24­17 back in August to try and clear up the issue:Assumability: If the secondary borrowing is not assumable, the holder of the VA guaranteed loan should counsel the assumer that this may restrict their ability to sell the property to another creditworthy assumer through an assumption in the future.The lender currently servicing the loan still can decide whether or not they'll allow the 2nd.You could do seller financing for the gap and then refinance just that amount with a Home Equity Loan or Line of Credit at some point down the road. 

Not much has changed in my life, but if I now have to finance a rental property vs primary home, my options change. 

When an individual landlord prices their rental, they do based on what the other ones in the neighborhood have rented for. 

Why not just buy a new primary and rent out your current home.

Allocate equity based on contributions: you provide the $235K HELOC and management, while your former boss contributes renovation expertise and labor.

You purchased the home as your primary.

Please no politics here, just looking for guidance on what may happen based on your insights so I can manage my bsusiness. 

MIchael was kind to share his with me and it made a solid base for the modifications we made - thanks again Michael!