This specific deal was a close friend's apartment that he was renting.

When my loan was not going to close, it was one of the options that my broker and lender told me about and actually referred me to for a conversation.

The struggle comes when you plan to sell, pay close attention to how the bank would treat the loan in the event you would sell.Even though its a bit more work, banks are typically open to these loans as it provides them with additional collateral in the event of default.  

have you closed some deals?

Generally houses worth 200-300k rent in my experience close to 1750-2250 in AL if you can get section 8 assuming you have 3-5 bedrooms3.

Sounds like this is a private money lender or a hard money lender.If you are getting funds from another source and relying on that to close, you should not put in the purchase agreement that you are buying with cash.

After one or two weeks close the ad and take it all to the dump, where it probably belongs.

As discussed the property at the time of closing was occupied.

If you are so close to the university and the rental is setup appropriately you should hit your target.

I would start close to where you live personally.