I would agree that increasing your income would help alleviate the problem as well.

Or does the lender in the second position have some say on the selling price.Also, concerning the tax burden for the forgiven debt wouldn't IRS form 982 help alleviate some of that obligation if the sellers liabilities outweigh their assets (which I am very sure they do)?

Bringing on a partner that has experience may alleviate a lenders requirements.

From what I understand (and perhaps I misread/misunderstood) you're happy with the home and the rehab, just not the management of it (and understandably - too little communication and lots of vacancy is not a great state to be in).Can you switch management companies to try and alleviate that challenge, or, are you in a contract with this provider for a fixed period of time to have them manage it, or?

He says a lot of the things I read on here, especially with respect to alleviating my fear of the expensive market I live in.

if you have your buyers criteria, the guesswork is almost alleviated from the start!

I have found a solution that should alleviate this huge surprise and thus making the best out of this sticky situation LOL Thanks again to ALL who responded/messaged me :)Originally posted by Adam B.

Hiring a General Contractor will alleviate most of your issues because he will do the planning and hand holding.  

Plus what was already mentioned, this way you can verify (with paid invoices & lien releases signed as proof) that each contractor was paid as agreed, in writing to help alleviate any mechanic's liens (I have stories about those too).

You are only able to utilize 75% of this income however if you are buying a property with alot of cash flow this can help alleviate some of the pressure on your DTI