When you get one, you need to be very soft and comforting in your approach. 

They are essentially betting on you as an individual will not only follow through with your word to execute this business plan, but also that there won't be another pandemic shutting down the economy, a soft landing for a coming recession, real wage growth to grow with increasing rents, no additional restrictions on landlords to remove nonpaying tenants, AND that the real estate market will keep humming along as it has been, increasing in value each year.

At the end of the day you should have at least 20% down, maybe even more with the changing environment, and you should find a capital partner (private money) to front the down payment, and even soft costs for your loan, and offer them in exchange equity or profit participation. 

In Sacramento, there were a lot of foreclosures, but I'm not sure how soft the bottom end was as I was less active there.  

When it was fresh it was nice and soft one use and it's hard as a rock.

So totally near $40/sq ft since I have minimal soft costs. 

(i.e. does it include permits, architectural plans, other soft costs, etc?)

Evidence is stacking up that residential real estate has at least hit a soft patch.

It's legal and saves major headaches if there are problems.Ironically, in the above situation, the owner (being a soft-hearted man) paid the tenant the equivalent of a one-night stay in a decent local motel. 

It was just a convenient way to show the bank with one statement the number they wanted.The proof of funds for REO's is a pretty soft requirement.